FXStreet reports that according to economists at ANZ Bank, negative real yields and rising inflation should offset headwinds from the macro backdrop for gold .

“The macro backdrop for gold is being challenged by fear of fiscal tightening. But negative real yields and rising inflation should offset those headwinds. Negative real yields appear to be driving gold prices in the face of a stronger USD. We expect US dollar to weaken as other central banks hike rates. Inflows in gold-and silver-backed ETFs are steady as talk of fiscal tightening increases. Lean speculative positioning in both gold and silver leaves room for a price rise.”