Gold futures edged higher Tuesday after back-to-back declines as investors assess demand for the yellow metal as worries about the spread of the delta variant of the coronavirus that causes COVID-19 roil financial markets.

August gold
GC00,
+0.68%

GCQ21,
+0.68%

roe $15.60, or 0.9%, to $1,824.80 an ounce on Comex. July silver
SIU21,
-0.12%

was up 2.6 cents, or 0.1%, at $25.17 an ounce.

Gold edged lower Tuesday despite a sharp stock-market selloff and a flight to safety that accelerated a fall in U.S. Treasury yields, sending the 10-year note
TMUBMUSD10Y,
1.145%

to its lowest since mid-February. The 10-year yield declined further on Tuesday after a round of mixed data on U.S. housing.

“Gold was steady despite yesterday’s equity market sell off with the price continuing its slow dance above $1,800,” said Pierre Veyre, technical analyst at ActivTrades, in a note.

“However, the technical configuration isn’t reassuring to investors as the market recently broke out of its short-term bullish trend line following a 50% bullish retracement of the last bearish impulsion from the $1,900 zone,” he said.

The short-term outlook for gold remains bearish as long as the price doesn’t top $1,820 an ounce, Veyret said, with $1,794 and $1,782 the next support zones.

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