Gold price dipped briefly under $1,820 on Thursday to hit its lowest level since the end of December. In the short term, there is a risk of the yellow metal falling further, strategists at Commerzbank report.

Marked rise in bond yields putting pressure on Gold

“The disappointment over the more restrictive Fed policy that we are likely to see after all has left its biggest mark on the Gold market. This is because US real interest rates have climbed again as a result. In this sense, a ‘good’ PMI in the US threatens to weigh on prices.” 

“We envisage further setback potential in the short term.”