Gold rises in price amid weakening dollar, lower yields of US government bonds

Gold prices rose moderately on July 12 morning amid a depreciation of the dollar and the yield of ten-year US government bonds, Report informs referring to the auction data.

The price of August gold futures on the New York Comex exchange rose by $6.35 (0.33%) to $1,943.45 per troy ounce. September silver futures rose 0.63% to $23.427 an ounce.

The dollar index (the exchange rate against a basket of currencies of six US trading partners) fell by 0.35% to 101.38 points. The depreciation of the dollar makes gold more affordable to buy in another currency.

The yield on ten-year US government bonds (US Treasuries) fell to 3.964% from 3.980% compared with the previous trading day. US government bonds are an alternative to gold as a ‘reliable’ asset, so their quotes, as a rule, have multidirectional dynamics.

On July 12, the markets are waiting for the publication of statistics on inflation in the US. Analysts suggest that in June, consumer prices rose by 3.1% in annual terms after increasing by 4% a month earlier, and in monthly terms by 0.3% after rising by 0.1% in May.