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Gold slips as US Treasury yields hit highs since 2007

XAU/USD was last at $4,364, down more than 1.1%, as the US 10-year yield fell to 4.712% and traders weighed Fed path signals from upcoming policy minutes.

Reported · Written up by our desk · Major Pairs

Gold prices eased on Tuesday as momentum in US Treasury yields pressured bullion, with XAU/USD trading around $4,364, down over 1.1%. FXStreet said the move came as Treasury yields reached their highest levels since 2007 earlier in the session, a headwind for a non-yielding metal.

The US Dollar Index was flat at 99.60, while the US 10-year Treasury yield was down more than 1 basis point to 4.712%. FXStreet added that investors were also reacting to further uncertainty around US-Iran talks, with the prospect of heightened Middle East risk supporting oil prices.

FXStreet noted that expectations for the Federal Reserve tightened and loosened with incoming data, including a weaker-than-expected jobs report and inflation edging lower that helped investors price out rate hikes in 2026. The outlet pointed to US Housing Starts falling 12.4% month over month in July, while Federal Reserve data showed Industrial Production for July slipping to 0.2% month over month.

Investors are now looking to Wednesday’s release of Fed policy meeting minutes for clues on the expected future interest-rate path. FXStreet said gold has slipped below the $4,400 level and the 100-day Simple Moving Average at $4,384, and that sellers appear to be gaining as the relative strength index trends lower.

Latest closeGold $4,432.00 ▲1.6%|Dollar index 99.64 ▼0.3%

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