Gold prices plunged to a two-week low on Wednesday as a surge in U.S. treasury yields prompted the strengthening of the US dollar.
The gold spot again fell below the $ 1,800 level with a low of around $ 1,790 per ounce in the Asian session.
This is also the fall in gold trading for the fifth consecutive day. The precious metal has recorded a fall of more than 5% this year.
The 10-year US Treasury yield benchmark jumped more than 1.3% to a one-year high in the previous session, driven by market confidence in economic recovery and rising inflation.
Following the increase in US bond yields, this has given the greenback dollar trading opportunity to rise higher against the other six major currencies.
Price pressures on yellow gold metal are expected to continue following strong economic recovery expectations following the launch of vaccines and more government spending.
Investors are increasingly optimistic about the global recovery as many countries have shown progress in vaccine launches and daily case figures showing declines around the world.
