Gold prices rose on Thursday, supported by a pullback in the dollar, while investors awaited guidance on interest rates by the US Federal Reserve from a key central bankers' meet at Jackson Hole, Wyoming this week.
Spot gold was up 0.3% at $1,756.20 per ounce, as of 0414 GMT, while US gold futures gained 0.4% to $1,769.20.
The dollar was down 0.2%, making gold less expensive for buyers holding other currencies. The benchmark U.S. 10-year Treasury yields held near multi-week highs hit in the previous session.
Investors across financial markets are bracing for the US central bank to reiterate its commitment to tame inflation or signal a "pivot" to subdued interest rate hikes. Powell will address the annual global central banking conference at Jackson Hole on Friday.
"Will the Fed still be looking at aggressively increasing interest rates and affecting the economy and whether that will be on the back-burner for now ... People want to have clarity on this," said Brian Lan, managing director at Singapore-based dealer GoldSilver Central.
Monetary policy will be the key factor in the short-term for the gold market, with higher interest rates affecting consumer behaviour, Lan added.
Rate hikes increase the opportunity cost of holding bullion, which pays no interest, while boosting the greenback.
The Fed has raised its benchmark overnight interest rate by 225 basis points in total since March to fight sky-high inflation and had noted that further tightening would depend on economic data.
On the technical front, spot gold may rise into a range of $1,765 to $1,774, having broken a resistance at $1,756 per ounce, according to Reuters technical analyst Wang Tao.
Spot silver rose 0.4% to $19.23 per ounce, platinum was up 0.5% at $880.74 and palladium climbed 1.2% to $2,058.76.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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