Report

rss

Iraq News

Kurdistan

Economy

World

All News

PRECIOUS-Gold edges up on Delta virus threat; firm dollar caps gains

Category: Economy

Date: 2021-07-19T07:02:17+0000
PRECIOUS-Gold edges up on Delta virus threat; firm dollar caps gains

Shafaq News/ Gold prices edged higher on Monday, lifted by a retreat in U.S. Treasury yields and concerns that a surge in coronavirus cases could dampen global economic recovery, though an uptick in the dollar limited the safe-haven metal’s appeal.

Spot gold was up 0.1% at $1,812.06 per ounce, as of 0502 GMT, after falling 1% in the previous session.

U.S. gold futures were steady at $1,815.10.

“Covid-driven risk aversion is driving Asian markets today after a weak finish on Wall Street on Friday,” said Jeffrey Halley, a senior market analyst at OANDA.

Gold is used as a safe investment during times of political and financial uncertainty.

“Some short-covering is providing modest support to gold, but it not displaying any clear momentum in either direction.”

Sentiment in wider financial markets remained weak as investor risk appetite was soured by growing inflationary pressures and a relentless surge in coronavirus cases.

Many countries, particularly in Asia, are struggling to curb the highly contagious Delta variant of the coronavirus and have been forced into taking lockdown measures.

Benchmark 10-year Treasury yields held near more than one-week low, reducing the opportunity cost of holding non-interest bearing gold.

However, safe-haven gains for the U.S. dollar limited gold’s appeal, as the dollar index strengthened 0.1% and edged towards a three-month high against its rivals.

“Negative real yields appear to be driving gold prices in the face of a stronger USD. We expect the U.S. dollar to weaken as other central banks hike rates,” ANZ analysts said in a note.

On the technical front, spot gold may break a support at $1,813 per ounce and fall towards $1,789, following its failure to break a resistance at $1,833, according to Reuters technical analyst Wang Tao.

Elsewhere, silver fell 0.7% to $25.49 per ounce, palladium rose 0.4% to $2,641.68, and platinum eased 0.1% to $1,101.15.

Source: Reuters

related

Gold inched up in Iraq today

Date: 2021-08-30 11:19:03
Gold inched up in Iraq today

Gold prices inched up in the Iraqi capital today

Date: 2022-03-17 10:08:39
Gold prices inched up in the Iraqi capital today

Gold firms on dollar slide, U.S. stimulus hopes

Date: 2020-10-01 09:01:50
Gold firms on dollar slide, U.S. stimulus hopes

PRECIOUS-Gold prices firm as rate-hike bets ebb; Fed minutes in focus

Date: 2021-07-05 07:37:39
PRECIOUS-Gold prices firm as rate-hike bets ebb; Fed minutes in focus

Including Iraq, Gold reserves of five Arab countries amount to +1,000 tons

Date: 2021-11-13 08:41:55
Including Iraq, Gold reserves of five Arab countries amount to +1,000 tons

PRECIOUS-Gold falls as investors fret over U.S. stimulus delay

Date: 2020-12-10 09:27:41
PRECIOUS-Gold falls as investors fret over U.S. stimulus delay

Gold set for worst performance in six years

Date: 2021-12-30 05:49:29
Gold set for worst performance in six years

Gold yields as dollar softens

Date: 2021-04-19 08:55:15
Gold yields as dollar softens