Gold Prices Stabilize Amid Higher Yields and Oil Prices

Gold prices stabilized on Wednesday after experiencing their largest decline in almost a month. Higher Treasury yields and rising oil prices continued to pressure bullion, while investors awaited the Federal Reserve's July meeting minutes for clues on the interest-rate outlook.

The price of gold rose 0.1% to $4,336.96 an ounce at 21:24 ET (01:24 GMT), but gold futures fell 0.7% to $4,390.50. Silver prices declined 0.9% to $62.76 an ounce, while platinum edged up 0.1% to $1,717.70.

Higher yields and oil prices have revived pressure on the metal, as bonds become more attractive when they offer better returns. Holding bullion provides no interest income, raising the opportunity cost of owning gold and encouraging investors to shift money toward fixed-income assets.

The outlook for gold remains closely tied to the Strait of Hormuz, where a prolonged disruption would be a major risk for energy prices and inflation. Investors are looking to the Federal Reserve's July meeting minutes for clues on how policymakers assessed inflation and interest rates.