Gold is holding above $1,800 an ounce after dropping for the first time in three years in 2021 as central banks globally started dialing back on pandemic-era stimulus. Still, bullion’s traditional role as an inflation hedge and the sell-off in technology stocks is supporting demand as investors seek refuge in the haven asset, according to Fawad Razaqzada, an analyst at ThinkMarkets.

“Gold is finally responding to high levels of inflation around the world,” said Fawad. “It remains to be seen whether the latest breakout attempt by gold can be held, but now there are more compelling reasons why the bulls might hold their ground.”

Spot gold was steady at $1,839.66 an ounce by 8:51 a.m. in Singapore, after hitting $1,843.35 Wednesday, the highest intraday level since Nov. 22. The Bloomberg Dollar Spot Index was flat after dropping 0.2% in the previous session. Silver was little changed, while platinum and palladium retreated.