Gold Prices Steady Near $4,400 as Traders Weigh Fed Rate Hike Path

Gold prices steadied near US$4,400 an ounce on Thursday as traders weighed the path of interest rate hikes by the US Federal Reserve. The metal had added 1% in the previous session to snap a three-day losing streak.

The gold price has traded within a narrow range in recent weeks, with some investors betting on its long-term value as a portfolio hedge despite near-term headwinds from rising bond yields and escalating tensions in the Middle East.

The rise in 10-year Treasuries yields to a negative for gold, which does not pay interest, after a government plan to buy up to US$6 billion of longer-rated debt failed to sway the market.