Gold Prices Soar to Three-Month High as Dollar Weakens

Gold prices surged to a three-month high on Tuesday, reaching $4,696.18 per ounce. This is the highest level seen since May 14. The rally in gold coincided with a weaker dollar and falling Treasury yields.

The demand for gold investment products has started to recover, with global gold-backed exchange-traded funds recording $3 billion in net inflows in July. Holdings increased by 23 metric tons to 4,068 tons, while assets under management rose 1% to $530 billion.

Bitcoin also saw a significant increase, crossing the $80,000 mark for the first time in three months and reaching an all-time high of $81,237 before giving back some of its gains. The rallies come as the dollar and long-term Treasury yields have fallen following the Treasury Department's expansion of bond buybacks last week.