09:21 AM EDT, 03/28/2024 (MT Newswires) -- Gold futures were higher early on Thursday, rising off the record close set a day earlier as buying momentum continues even as the dollar and treasury yields rise.

Gold for June delivery was last seen up US$23.10 to US$2,235.80 per ounce.

The precious metal's record rise comes on expectations lower interest rates are on the way, with the Federal Reserve seen likely to cut interest rates three times this year for a total 75-basis points. Lower interest rates cut the carrying costs of owning gold, since it offers no interest.

However expectations could change on Friday with the release of the February PCE Index data, the Fed's preferred inflation measure. The consensus estimate expects the PCE index rose by an annualized 2.5% in February, according to Marketwatch, up from a 2.4% rate a month earlier. However the core index, excluding volatile items, is expected to fall 0.3% from January, down from a rise of 0.4% that month.

The dollar also rose after Thursday's release of revised US GDP data for the fourth-quarter, pushing the growth in the economy up to 3.4% from the original 3.2% figure, showing the US economic growth continued to run hot despite interest rates at the highest in 23 years. The ICE dollar index was last seen up 0.04 points to 104.39.

Treasury yields rose, normally bearish for gold, with the US two-year note last seen paying 4.618%, up 3.5 basis points, while the yield on the 10-year note was up 2.5 basis points to 4.219%.