June 9 (Reuters) - Gold prices eased for a third straight
session on Tuesday, weighed down by rising Treasury yields,
while the Middle East conflict kept concerns around inflation
and rate hikes elevated.
FUNDAMENTALS
* Spot gold fell 0.2% to $4,319.98 per ounce by 0100
GMT. Bullion hit a more than two-month low on Monday.
* U.S. gold futures for August delivery were down
0.4% at $4,344.30.
* Yields on the benchmark 10-year U.S. Treasury note
were at a two-week high, increasing the opportunity
cost of holding gold.
* Iran and Israel said on Monday they had halted attacks on
each other after an appeal from U.S. President Donald Trump,
though Tehran warned it would resume hostilities if Israel
continued to hit Hezbollah in Lebanon.
* Goldman Sachs said it expects the U.S. Federal Reserve to
keep interest rates unchanged through 2026 and delay rate cuts
until 2027, citing stronger economic activity and jobs growth.
* Traders are now pricing in a more than 70% chance of a Fed
rate hike by December, according to the CME FedWatch tool.
* Citi cut its near-term gold price target to $4,000 per
ounce from $4,300 on expectations of higher U.S. interest rates
this year. It said bullion's recent strength was hard to sustain
without continued strong physical demand.
* SPDR Gold Trust, the world's largest gold-backed
exchange-traded fund, said its holdings fell 0.5% to 929.62
metric tons on Friday.
* Spot silver fell 0.6% to $67.84 per ounce, platinum
lost 0.2% to $1,750.33, while palladium rose 0.6%
to $1,211.
DATA/EVENTS (GMT)
0600 Germany Industrial Output MM Apr
0600 Germany Industrial Production YY SA Apr
1230 US Industrial Trade $ Apr
1400 US Existing Hom Sales May
(Reporting by Pablo Sinha in Bengaluru; Editing by Subhranshu
Sahu)
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