Gold price (XAU/USD) grinds higher around $1,960 as it snaps a two-day downtrend during early Tuesday, despite upbeat United States Treasury bond yields and sluggish US Dollar. In doing so, the XAU/USD traders seem to portray the month-end positioning ahead of the key US data while struggling to justify the risk-on mood.

Gold price recovery fails to justify firmer United States Treasury bond yields

Gold price prints the first daily gain in three as it ignores the firmer United States Treasury bond yields amid the sluggish US Dollar. That said, the US 10-year and two-year bond coupons marked the first daily gains in four the previous day as market sentiment improved amid policymakers’ push for more reforms to tame the banking fears. It’s worth noting that the US 10-year and two-year Treasury yields grind higher around 3.53% and 3.93% by the press time. It’s worth noting that the US Dollar Index (DXY) remains pressured and underpins the corrective bounce of the XAU/USD.