Gold Reverses Gain
2026-03-03 06:19
By
Judith Sib-at
1 min. read
Gold fell below $5,300 per ounce on Tuesday, giving up earlier gains, pressured by a stronger US dollar and rising Treasury yields.
With Middle East tensions driving oil prices higher, this heightened concerns over US inflation, prompting traders to reduce bets of further Federal Reserve rate cuts.
Adding to inflation concerns, ISM manufacturing input prices for February surged to the highest level since mid-2022.
Markets now see the next Fed rate cut likely around September, later than previously anticipated.
Meanwhile, President Trump warned on Monday that the US would continue attacking Iran until it was no longer capable of posing a threat, signaling that the conflict could last for a month or “far longer.” At the same time, Iran declared the Strait of Hormuz closed and threatened to target any vessels attempting to transit the critical energy corridor.