Gold steadies as inflation concerns balance hopes of lower real rates

Among other metals, spot silver XAG= rose 1.9% to $68.16 per ounce, platinum XPT= was little changed at $1,824.72 and palladium XPD= edged 0.1% lower to $1,330.74.

Gold prices recouped some earlier losses to trade largely steady on Thursday, as prospects of lower long-term real rates offset persisting risks of higher inflation underlined by rising oil prices.

Spot gold XAU= was down 0.1% at $4,516.19 per ounce at 1:32 p.m. EDT (1733 GMT) after slipping to as low as $4,450.08, retreating from the highest level since June 2 that it hit earlier in the session.

Gold had leapt over 4% on Wednesday, while the U.S. dollar and bond yields dropped sharply after the Treasury's announcement it would increase buybacks of longer-dated bonds.

U.S. gold futures GCcv1 settled 0.6% higher at $4,571.40.