Gold prices snap record high for 4th straight session

Gold prices consolidated their gains today, April 2, buoyed by safe-haven demand spurred by the geopolitical tensions in the Middle East, despite the decline in bets on easing monetary policy in the US.

Bullion for June delivery jumped by 1.1%, or $24.7, at $2,281.8 per ounce, marking the fourth consecutive record level after touching $2,297.9 an ounce in early trading.

Meanwhile, the US dollar index, which gauges the greenback's strength against a basket of six currencies, declined by 0.2% to 104.8 points at 08:20 pm Makkah time, after touching 105.1 points during the session.

"What makes the gold rally so unusual is that it is occurring despite significant traditional headwinds with the US dollar rising, Treasury yields rising, the likelihood of higher for longer US rates increasing," independent analyst Ross Norman was quoted as saying by Reuters.

The CME FedWatch Tool showed that the markets' likelihood of the Federal Reserve cutting interest rates by 25 basis points at the June meeting declined to 62.3% from 63.8% a week ago. However, the probability of keeping borrowing costs unchanged during the meeting rose to 37.1% from 29.8%.