Palestinians hope for truce before threatened assault on Rafah
Atleast 8 Fed officials due to speak for rest of the week

Feb 6 Reuters Gold prices inched higher from nearly twoweek low levels on Tuesday, as the dollar and Treasury yields slipped, and traders took stock of missing signs of deescalations in the MiddleEast.

Spot gold edged up 0.2 to 2,027.85 per ounce, as of 0612 GMT, after hitting its lowest level since Jan. 25 on Monday.

U.S. gold futures rose 0.1 to 2,044.00 per ounce.

The dollar index fell 0.1, while yields on benchmark 10year Treasury slid to 4.1250, making nonyielding bullion more appealing for other currency holders.

The U.S. continued its campaign against Iranbacked Houthis in Yemen, while Palestinians hoped U.S. secretary of state Antony Blinken39;s visit to the Middle East would clinch a truce before a threatened Israeli assault on Rafah.

Gold, considered a safehaven investment, tends to gain during times of political uncertainty.

With the Federal Reserve pushing back on rate cuts and strong economic data in the U.S., nothing has been left to support gold other than the Middle East tension, said Ajay Kedia, director at Kedia Commodities in Mumbai.

Two Fed officials said that the U.S. central bank did not need to be overly concerned by recent higherthanexpected economic growth and employment figures and could take time before deciding to lower interest rates, echoing Powell39;s prudence in determining when to cut rates.

Traders have…