Title: Gold Up, Above $2,000 Mark as Ukraine Conflict Continues

Mar 09, 2022 12:23AM ET

By: AnalysisWatch

Gold prices rose in Asia on Wednesday morning. The yellow metal held its ground after hitting a 19-month high in the previous session, supported by safe-haven demand as the conflict in Ukraine continues and US Treasury yields rise.

Gold futures were up 1.10 percent at $2,065.70 as of 12:20 a.m. ET, having risen to $2,069.89 the previous session, not far from the August 2020 record of $2,072.49.The dollar, which normally moves inversely to gold prices, eased slightly on Wednesday but remained close to Monday's high of more than a year and a half.

Apart from the fact that the US and Britain have banned Russian oil imports, which is not having much impact on the gold price, there seems to be no further escalation of tensions between Russia and Western powers.

US Treasury yields rose as the Federal Reserve is expected to raise interest rates when it makes its decision next week. On the other hand, the European Central Bank will announce its monetary policy decisions on Thursday.

In other precious metals, palladium rose 3.3% to $3,284.67 an ounce, up 38% since Russia's invasion of Ukraine on February 24. Russia is one of the world's largest producers of metal.

Silver rose 1% to $26.66 an ounce after hitting a near nine-month high on Tuesday.

Platinum rose 1.2%.