Gold Futures End Lower On Higher US Real Yields

By Nurunnasihah Ahmad Rashid

KUALA LUMPUR, Sept 28 (Bernama) -- Gold futures on Bursa Malaysia Derivatives ended lower on Monday, tracking a sharp decline in global gold prices as higher US real yields weighed on the precious metal.

Quintex Intel global strategist Stephen Innes said gold came under significant pressure as US Treasury yields rose amid market expectations of a stronger US economy and a more aggressive US Federal Reserve (Fed) policy path.

“US Treasury yields are rising because markets are repricing a stronger US economy and a more aggressive Fed path, while inflation breakevens have moved much less.

“This makes it more of a real rate story than an inflation scare, and that is particularly negative for gold because it raises the opportunity cost of holding a non-yielding asset,” he told Bernama.

At the close, the spot-month September 2026 contract decreased to US$4,145.10 per troy ounce from US$4,292.40 on Friday, while October 2026 fell to US$4,161.00 from US$4,308.30.

The November 2026 contract went down to US$4,177.80 per troy ounce from US$4,325.20 on Friday, while December 2026, February 2027 and April 2027 all decreased to US$4,185.60 from US$4,333.00 previously.

Trading volume rose to 199 lots from 162 on Friday, while open interest went up to 262 contracts from 222 previously.

Physical gold was fixed at US$4,261.05 per troy ounce at the London Bullion Market Association's afternoon fix on Sept 25.

-- BERNAMA