Gold market is seeing some haven flows as global risk sentiment improves.

The gold price (XAUUSD) ticked higher on Tuesday. And appears to have broken a two day losing skid to the $2,015 region, or more than a one-week low reached the previous day. The increase is fueled by a minor decrease in global risk sentiment. Which typically supports the safe-haven precious metal.

Falling US bond yields encourage USD profit-taking while also supporting the metal.

Furthermore, a slight decrease in US Treasury bond yields exerts considerable The US Dollar (USD) is under pressure. But the commodity is also receiving further support.

Meanwhile, markets have largely priced out the possibility of an early interest rate cut by the Federal Reserve (Fed) in response to stronger US macro data. Which indicated a still sturdy economy. In addition, recent hawkish remarks by various Fed officials suggested. That the US central bank will keep interest rates higher for an extended period of time. This could operate as a tailwind for US bond yields. Boosting USD bulls and potentially capping the non-yielding gold price.

Daily Market Movers: Gold prices benefit from a flight to safety, weakening USD, and dropping US bond yields.

Persistent concerns about geopolitical tensions arising from wars in The Middle East and China’s sluggish economic growth provide some support for the safe-haven gold price.

The Institute for Supply Management (ISM) announced on Monday that the US services sector’s growth accelerated in January due to a rise in new orders.

The US ISM Non-Manufacturing PMI rose to 53.4 last month from 50.5 in December, with a measure of input costs known as the costs Paid sub-component reaching an 11-month high.

This comes on top of Friday’s massive US jobs data, which reiterated the notion that the economy is in strong form, reducing the likelihood of a rate decrease by the Federal Reserve this March.

Hawkish Fed predictions should boost the dollar and contain gains in the XAUUSD.

Furthermore, hawkish comments from some Fed officials suggest that the first rate cut might not happen until May or June. This is still supportive to high US Treasury bond yields.

The yield on the rate-sensitive 2-year US government bond rose to a one-month high on Monday, while the benchmark 10-year US Treasury yield remains comfortably over 4.0%.

The US Dollar is nearing its highest level in nearly three months, which might further limit any major appreciation for the non-yielding yellow metal.

Fed Chair Jerome Powell told CBS News’ 60 Minutes on Sunday that the central bank might be patient in selecting whether to decrease interest rates.

Minneapolis Fed President Neel Kashkari said that a potentially higher neutral rate means that the central bank can take more time to examine incoming data before Starting to reduce interest rates.

Chicago Fed President Austan Goolsbee highlighted that there had been seven months of positive inflation data, but he did not remark on the timing of the first interest rate drop.

China’s Central Huijin participation Company is reportedly increasing its participation in Chinese stock ETFs and is committed to ensuring the market’s stability.