Treasury's Gold Boost Contrasts With Fed Rate Hike Signals

The price of gold surged by 4% after the US Treasury announced it would double its buyback operations for 10- to 30-year bonds. This move aims to lower long-term borrowing costs, and as a result, 30-year yields dropped from their highest levels since 2007.

However, this decision contrasts with the Federal Reserve's policy signals, as some officials favor rate hikes if inflation persists. The Treasury's actions may signal a more accommodative stance on interest rates.

Investors will be watching gold price levels closely on Friday and are also awaiting a tariff decision on Canadian metals that could impact aluminum prices.