Gold Continues to Struggle Amid Elevated Interest Rates

The gold market continues to face challenging conditions, with the precious metal experiencing three consecutive losing sessions and a decline of nearly 2.3%.

This price action highlights a bearish bias that has become increasingly relevant within the market.

The Federal Reserve's decision to raise interest rates to 4.00%, up from 3.75%, has limited gold's recovery potential in an environment of elevated interest rates.

The bond market remains strong, and with U.S. Treasury yields above 5.00%, part of the available capital flow may continue favoring fixed-income markets over gold.

The outlook for gold demand remains challenging as long as bond yields stay elevated.