The increase in yields on 10-year US government bonds put pressure on gold prices in trading on Wednesday (2/6).

"A move below 1885 dollars per troy ounce, has the potential to push prices down to the range of 1870 dollars per troy ounce," said Commodity Observer Ariston Tjendra in Jakarta.

According to Ariston, bond yields have returned to above 1.60% due to rising inflation expectations in the US.

This increase in yields encourages the strengthening of the US dollar. Commodity prices that are valued in US dollars may fall if the US dollar strengthens.

The good US economic data released last night, namely manufacturing activity index data, also triggered the strengthening of the US dollar.