Gold Surges Above $4,500 on US Treasury Bond Buyback Decision

The price of gold has risen above $4,500 as investors react to the US Treasury's decision to increase its bond buybacks.

US Treasury Secretary Scott Bessent said that the Treasury could increase bond buybacks beyond $4 billion to signal that current yields do not reflect underlying economic fundamentals.

The move is seen as a way for the Treasury to support the longer end of the market, which has been experiencing higher borrowing costs. However, some analysts warn that gold's upside might be limited due to inflation pressures and potential Federal Reserve rate hikes.