'Dovish' Fed Gives Hope Gold Continues Momentum Reaches $2,000!

<p>&nbsp;Gold prices are now down slightly after hitting a two-week high due to movements in US treasury yields. However, gold bullion remains supported by expectations of peak rates.</p><p><br /></p><p>Spot gold fell 0.2% to $1,975.80 an ounce after rising 2.2% last week. Whereas, the U.S. gold futures fell 0.3% to $1,978.50.</p><p><br /></p><p>The benchmark US 10-year treasury yield rose to 4.4647% after hitting a two-month low and reducing interest-free gold's appeal.</p><p><br /></p><p>A sluggish US jobs market and weaker-than-expected consumer inflation reports prompted markets to revise their forecasts.</p><p><br /></p><p><br /></p><p>Many traders expect the Fed to keep rates unchanged at its December 12-13 policy meeting. Lower interest rates put pressure on the dollar and bond yields.</p><p><br /></p><p>Meanwhile, the US dollar slumped to a two-month low and that made gold cheaper for holders of other currencies.</p><p><br /></p><p>Investors await the US central bank's final meeting of the year for clarification on interest rate decisions. Asian stocks got off to a slow start as market valuations stretched amid expectations of aggressive global policy easing next year.</p><p><br /></p><p>In separate news, the US and Israeli governments reported that an agreement to free hostages in the Middle East is getting closer even though the war is still in a critical situation.</p>