Business

Gold and silver easing as the dollar remains strong near its two-month peak

Gold and silver prices fell on Thursday as the stronger dollar pushed their appeal, but investors are looking forward to the passage of a major stimulus package in the United States and the Bank of England’s interest rate decisions.

Spot gold fell 0.6% by 0330 GMT to $ 1,822.01 per ounce. US gold futures fell 0.6% to $ 1,823.90.

See Zee Business Live TV Streaming below.

Spot Silver fell 1.3% to $ 26.51. Prices have fallen due to the failure of social media-led rallies since reaching a peak of nearly eight years at $ 30.03 on Monday.

Michael McCarthy, Chief Market Strategist at CMC Markets, said:

The dollar remained near its two-month peak, which was a hit on Wednesday, but benchmark 10-year Treasury yields rose to their highest levels in more than three weeks. [USD/] [US/]

“The rise in yields shows that central banks are working on ways to raise interest rates and withdraw stimulus measures,” McCarthy said.

Gold benefits from simple monetary policy because it focuses on government bond yields.

The recent surge in cryptocurrencies has also robbed gold of some brilliance.

Investors are currently awaiting a Bank of England policy decision that expires at 1200 GMT.

It also focused on the $ 1.9 trillion US coronavirus aid program promoted by the US House of Representatives without Republican support.

“The biggest risk to gold is the strength of the recovery with the deployment of the vaccine, and we expect US Treasury yields to rise,” said Lachlan Shaw, head of commodity research at the National Australia Bank. ..

“With these new strains, if the vaccine deployment is facing uncertainty, it can still support gold, he said.”

Platinum was down 1.4% to $ 1,085.62 an ounce and palladium was down 1.1% to $ 2,250.06.

(Report by Sumita Layek in Bangalore, edited by Krishna Chandra Eluri)

The story was taken from a news agency



Gold and silver easing as the dollar remains strong near its two-month peak

Source link Gold and silver easing as the dollar remains strong near its two-month peak

Related Articles

Back to top button