EconomyGold is trading down, but the dollar's fall limits...

Gold is trading down, but the dollar’s fall limits losses


Lima, January 13, 2022Updated on 01/13/2022 08:09 am

Gold prices fell slightly on Thursday as the yield on benchmark 10-year US Treasuries recovered some losses, but the precious metal remained close to the one-week high it touched the day before as the dollar extended its descent.

At 10:20 GMT, spot gold was down 0.1% at $ 1,823.24 an ounce. Gold futures in the United States were down 0.3% at $ 1,822.20.

In the previous session, the bullion rose to US $ 1,827.92, its highest level since January 5.

“Gold’s performance is somewhat disappointing in a way, considering the fairly seismic collapse of the US dollar, gold could have behaved as one would expect, but it hasn’t hit the big $ 1,835 an ounce, considering the inflation data “said Ross Norman, an independent analyst.

Data from Wednesday showed that US consumer prices rose in December, with the largest annual increase in inflation in nearly four decades, cementing expectations that the Federal Reserve will start raising interest rates starting in March.

Gold is considered a hedge against inflation, but the metal is highly sensitive to rising US interest rates, which increases the opportunity cost of holding non-interest-bearing bullion.

The yield on 10-year US Treasuries rose after falling in the last session, while the dollar index fell to a two-month low.

Among other precious metals, silver was up 0.2% at $ 23.15 an ounce, platinum was down 0.3% at $ 974.49 and palladium was little changed at $ 1,910.60.




Please enter your comment!
Please enter your name here

Latest news

Must read

You might also likeRELATED
Recommended to you