Gold futures settled higher on Tuesday as the dollar stayed subdued against most of its peers, and Treasuries held steady, reflecting concerns of a slower recovery from the coronavirus pandemic.
The dollar hovered around three-week lows against major rivals. The yield on 10-year U.S. Treasury Notes traded stood around 1.28%.
Gold futures for December ended up by $5.90 or about 0.3% at $1,818.10 an ounce. Gold futures gained less than $1 in August.
Silver futures for December ended unchanged at $24.006 an ounce, while Copper futures for December settled at $4.3750 per pound, down $0.005 from the previous close.
Data showing a contraction in China’s services sector activity and a slower pace of expansion of the country’s factory activity dented optimism about a strong economic rebound from the pandemic.
In U.S. economic news, a report from the Conference Board showed a substantial deterioration in U.S. consumer sentiment in the month of August.
The Conference Board said its consumer confidence index tumbled to 113.8 in August from a downwardly revised 125.1 in July. Economists had expected the consumer confidence index to drop to 123.0 from the 129.1 originally reported for the previous month.
With the bigger than expected decrease, the index slumped to its lowest level since hitting 95.2 in February of 2021.