World gold prices dropped sharply with spot gold down 21.3 USD compared to yesterday morning to 1,828.4 USD/ounce. Gold futures last traded at 1,844.6 USD/ounce, down 21.5 USD compared to yesterday morning.
December gold futures hit a 10-month low in early morning trading this morning (Vietnam time). The USD reached its highest level in 10 months and US Treasury bond yields increased to their highest level in 16 years, which are factors hindering gold's reversal.
Another factor that is detrimental to gold is the improvement in sentiment in the market. Accordingly, investors became more optimistic when US President Joe Biden signed a temporary budget law to prevent the risk of a Government shutdown. This act helps allocate funds to ensure the federal government can maintain operations within 47 days (until November 17). Previously, markets seemed certain of the possibility of a government shutdown at the end of last week.
December gold futures hit a 10-month low in early morning trading this morning (Vietnam time). The USD reached its highest level in 10 months and US Treasury bond yields increased to their highest level in 16 years, which are factors hindering gold's reversal.
Another factor that is detrimental to gold is the improvement in sentiment in the market. Accordingly, investors became more optimistic when US President Joe Biden signed a temporary budget law to prevent the risk of a Government shutdown. This act helps allocate funds to ensure the federal government can maintain operations within 47 days (until November 17). Previously, markets seemed certain of the possibility of a government shutdown at the end of last week.
