Gold traded higher on Thursday after posting gains of nearly 2% in the previous session as the US dollar and US treasury yields pulled back from record highs.
In the Asian trading session, gold prices were little changed at around $1,655 per ounce, while gold futures hovered at $1,662 per ounce.
The US dollar fell back from its 20-year high with the dollar index trading weakly around 113.20 in the Asian session.
This followed a sharp decline in the 10-year US treasury yield at 3.75%, from the 14-year high it hit on Wednesday at 4.00%.
This decline has benefited gold trading to rise along with other risk markets.
However, gold is still under downward pressure due to the prospect of continued tightening measures by the Federal Reserve (Fed) to fight inflation.
Meanwhile, the Bank of England (BOE) unexpectedly made purchases of long-dated UK government bonds to restore financial stability in the market.
