Gold was up on Tuesday 22nd March 2022 in the global market, as U.S. Treasury yields hit a multi-year high of 2.3 percent for the first time since 2019. Gold futures were up 0.39 percent to 222,406.34 shillings
According to senior analyst Jeffrey Halley, there are no new inputs to materially move the price today, leaving gold stuck between higher U.S. yields and a ramp-up in risk-aversion sentiment.
On the contrary, Powell noted that there is a possibility of the FED raising the interest rates higher than usual. A closely watched gap between rates for two- and 10-year Treasury notes flattened further, indicating a potential economic downturn.
The continuous sharp moves in the U.S. Treasury market are increasingly pointing to the risk of an approaching recession, especially now that the markets are not sure that the Fed’s plan to engineer a “soft landing” for the economy will work.
The Ukraine conflict that has been going on since Russia’s invasion on Feb. 24 2022 has sustained the metal’s price. Ukraine said on Monday that it would not obey the ultimatums from Russia to stop defending the city of Mariupol.
“The Ukraine conflict is likely to go on and increase supply-chain tensions and inflation pressures, supporting gold,” ABC Bullion global general manager Nicholas Frappell said.
Other metals that have been affected in the global market include palladium, which is used by automakers in catalytic converters to curb emissions and fell 0.5 percent, Silver which gained 0.5 percent, and platinum which was up 0.3 percent.
In Kenya, the price of gold was also up at 7,153.2 shillings per Gram. 10 Grams Gold Rate is 71,532.1 shillings
Today Gold Prices in Kenya
Gold Unit Gold Rate in Kenyan Shilling
Gram 24K 7,153.2 KES
Gram 23K 6,855.2 KES
Gram 22K 6,557.1 KES
Gram 21K 6,259.1 KES
Gram 18K 5,364.9 KES
Gram 16K 4,768.8 KES
Read More: Gold Market Rates Remain Flat Amidst Higher Treasury Yields