By Nakul Iyer
Sep 29 (Reuters) – Gold regained some ground on Wednesday, as a pullback in US bond yields provided a respite for the precious metal, which has been hit by rising expectations that the Federal Reserve could start trading. undo your support soon.
* As of 0921 GMT, spot gold was up 0.5% at $ 1,742.26 an ounce after falling to its lowest level in more than a month on Tuesday. Gold futures in the United States were up 0.3% at $ 1,742.50.
* Concerns that the Fed could begin to reduce its stimulus measures kept the dollar near a 10-month high in the session, undermining the attractiveness of gold to buyers who hold other currencies.
* “Risks to gold are skewed to the downside with more and more speculation, after Norway’s central bank raised rates, on which central bank to follow,” said quantitative commodities research analyst Peter Fertig.
* Gold remains an attractive asset in the medium and long term, as investors may be tempted to recapture the metal given high stock valuations, ActivTrades analyst Pierre Veyret said.
* In testimony to Congress, Fed Chairman Jerome Powell said the US economy was still a long way from achieving maximum employment, a key component of the central bank’s requirements to raise interest rates.
* Platinum was down 0.2% at $ 965, while palladium was up 1.2% at $ 1,898.68. Silver was down 0.6% at $ 22.31 an ounce.
(Reporting by Eileen Soreng and Nakul Iyer in Bengaluru; Edited in Spanish by Janisse Huambachano)