By Asha Sistla

(Reuters] – While gold prices held steady due to concerns over Ukraine’s crisis, demand for safe-haven metals was supported by calls for more aggressive interest rate increases from the U.S. Federal Reserve in an effort to curb inflation.

By 0311 GMT, the price per ounce had remained unchanged at $1923.47 The U.S. was up 0.1% to $1,923.40

The potential for global interest rates to rise is impacting (gold). Michael McCarthy (chief strategy officer, Tiger Brokers Australia), stated that there was a support for the need to find safe havens in light of the ongoing geopolitical conflict between Ukraine and Russia.

James Bullard, President of the St. Louis Fed, called on the central bank’s benchmark overnight rate to rise to 3% and to take aggressive steps to control inflation.

According to the market, there is a 72.2% chance that the Fed will increase the Fed funds rates 50 basis points by May. On Monday, the odds for an even bigger increase were just slightly higher than at 50%. [FEDWATCH]

Benchmark has risen to new heights since May 2019 [US/]

Higher U.S. yields and interest rates can make gold more sensitive, increasing the risk of losing non-yielding bullion.

McCarthy said that the optimism surrounding a Ukraine resolution has begun to fade, and some traders believe that there may be a breakthrough to the upside.

While talks between Russia and Ukraine are progressing, the West is planning to increase sanctions on Kremlin.

According to Wang Tao (Reuters technical analyst), spot gold might fall between $1,891 and $1,903 per ounce. This is because the trend from March 8’s high of $2069.89 seems like it has continued. [TECH/C]

Spot silver rose 0.3% to $24.83 an ounce while platinum fell 0.2% to $1.020.88. Palladium rose 3.2% at $2,565.02.