Despite significant selling pressure at the outset of the US trading session yesterday, gold managed to end the day flat. The precious metal is rising this morning. Looking at news, Jerome Powell's confirmation hearing was mostly a non-event. As expected, Powell signaled a continuation of Yellen's existing policies including gradual rate hikes and a reduction in the size of the Fed's balance sheet. In other news, the Senate budget committee approved the tax bill, paving the way for a full Senate vote on the topic as early as this coming Thursday. Given gold's sensitivity to inflation, the gold prices will be influenced by the Senate tax vote and upcoming Core PCE figures this Thursday.
After its most recent top above $1,300, gold is now above $1,295.