gold prices inch higher, aluminum rebounds, grains fall

Gold prices rose on Wednesday, supported by a dip in the US dollar and Treasury yields, though signs of progress in Russia-Ukraine peace talks dented the metal’s appeal as a safe haven and kept gains in check.

Spot gold was up 0.3 percent to $1,923.95 per ounce by 0210 GMT. US gold futures rose 0.5 percent at $1,927.70.

The metal fell as much as 1.8 percent on Tuesday to its lowest since Feb. 28 at $1,889.45.

Wheat, Soybean fall

Chicago wheat futures lost further ground today morning after tumbling in the previous session, as talks between Russia and Ukraine in Turkey raised hopes of a ceasefire in a conflict that has disrupted global grains supplies.

The most-active wheat contract on the Chicago Board of Trade fell 1.24 percent to $9.96-3/4 a bushel. Corn rose 0.31 percent to $7.28-1/2 a bushel while soybeans edged 0.09 percent higher to $16.44-1/2 a bushel.

The most-active soybean meal futures on Dalian Commodity Exchange in China slid 2.6 percent to $646.36 per tonne in early Wednesday trade while rapeseed meal futures on Zhengzhou Commodity Exchange fell 2 percent.

Aluminum rebounds

Benchmark London metal prices rose in early Asian trading on Wednesday, with aluminum rebounding after a near five percent drop in the previous session, as traders tempered their optimism over signs of progress in Russia-Ukraine peace talks.

Three-month aluminum on the London Metal Exchange was up 1.6 percent at $3,492 a ton by 0238 GMT, after falling 4.9 percent on Tuesday.

But in China, which is battling a COVID-19 surge, the benchmark aluminum contract on the Shanghai Futures Exchange fell as much as 2.9 percent to $3,516.22 a ton.