Gold prices rise marginally, trade near 7-week low

Gold prices rose on Wednesday, amid a marginal decline in the US Treasury yield, but are still trading near the lowest level in seven weeks.

Analysts at OCBC Bank expects gold prices to fall to $1,500 by the end of 2022, especially with the completion of the reduction of asset purchases by the Federal Reserve and its aspiration to start increasing the interest rates, Reuters reported.

Gold futures contracts for December delivery rose 0.1% to reach $1,739.90 per ounce at 09:25am Makkah time. Spot price for the yellow metal rose 0.3% to reach $1,738.86 per ounce.

Elsewhere, silver futures for December delivery fell 0.6% to reach $22.34 an ounce. Spot price for platinum delivery rose 0.2% to reach $969.55, while palladium gained 1.3% to reach $1,878.50 per ounce.

The dollar index, which measures the performance of the US currency against a basket of six currencies, settled at 93.715 points.