Gold futures crept down 0.03% to $1,898.30 by 12:12 PM ET (4:12 AM GMT). The dollar, which ordinarily moves inversely to gold, bound up but remained under the three-week high of 90.627 hits throughout the past week. The benchmark 10-year U.S. Treasury yield settled near a more than one-week low.
Investors anticipate the U.S. consumer price index report, expected out on Friday, that could intimate the Federal Reserve’s next policy move. The Fed will convene to hand down its policy decision in the coming week.
The European Central Bank will hand down its own policy choice ahead of the Fed on Thursday. Both decisions are for any hints of asset tapering.
On the data front, Japan’s GDP decreased 1% quarter-on-quarter for the first quarter of 2021, according to data issued earlier in the day. The contraction was more diminutive than the 1.2% contraction in estimates prepared by Investing.com but was lower than the previous quarter’s 2.8% growth.
The GDP also contracted 3.9% year-on-year.
In the Asia Pacific region, Australia’s National Australia Bank (NAB) Business Confidence Index rose to 20 in May, higher than the prior month’s 17 reading. Meantime, the NAB business survey also increased to 37, exceeding April’s 32 figures.
MSCI’s All-Country World Index Improved 0.1% on Monday
It beat its sixth record close in seven days following the G7 nations struck a landmark deal on Saturday to back a minimum global corporate tax rate of at least 15%.
The deal raised technology giants such as Microsoft (NASDAQ: MSFT) and Facebook (NASDAQ: FB). Their future tax obligations become more predictable.
Oil prices dropped more ground on Tuesday as interests in the fragile state of the global recovery were raised by data showing China’s oil imports dropped in May.
Brent crude extended losses to $70.96 a barrel by 0530 GMT, off 53 cents or down 0.74%. U.S. oil was off by 47 cents, or 0.68%, at $68.76 a barrel.
Gold prices trimmed lower on Tuesday, weighed down by an uptick in the dollar. Spot gold was below 0.12% at $1,896.71 per ounce as of 0534 GMT.
The dollar index increased 0.1% against its rivals, making gold more costly for other currency holders. USD/
In other precious metals, silver, palladium, and platinum all crept up 0.1%.