Search

PRECIOUS-Gold eyes biggest monthly rise in ten on soft dollar, inflation risk - Reuters

kristangbang.blogspot.com

* Silver heads for biggest monthly gain since December

* Spot gold up nearly 7.7% this month

* Palladium set for first monthly decline in four (Adds technicals, updates prices)

May 31 (Reuters) - Gold prices rose on Monday and were headed for their biggest monthly jump since July 2020, boosted by a weaker U.S. dollar and lower bond yields, while growing inflationary pressure also lifted demand for the metal.

Spot gold was up 0.1% at $1,905.14 per ounce by 0637 GMT, while U.S. gold futures gained 0.2% to $1,908.80. Spot prices have risen nearly 7.7% so far this month.

Most markets will be closed in the United States and Britain on Monday for public holidays.

“Gold is pretty much drawing its strength from inflation fears and some inclination of the yields,” said Stephen Innes, managing partner at SPI Asset Management.

“The dollar is staying weaker, that’s fairly supportive. Gold bulls now have their eyes set on $2,000, and most are thinking it’s going to go quite a lot higher.”

The dollar index eased 0.1% against its rivals, while the U.S. 10-year Treasury yield fell to 1.593% on Friday , reducing the opportunity cost of holding non-interest bearing gold.

Data on Friday showed U.S. consumer prices surged in April, with a measure of underlying inflation blowing past the Federal Reserve’s 2% target and posting its largest annual gain since 1992.

Gold, often used as a hedge against inflation, has benefited from recent data showing a rise in prices in the United States and Britain.

Investors’ focus this week will be on U.S. payrolls data due on Friday, with median forecasts suggesting they will show an increase of 650,000.

Spot gold, riding on a wave C from the May 13 low of $1,808.44, may test resistance at $1,919 per ounce, a break of which could lead to a gain into the $1,932-$1,953 range, Reuters technical analyst Wang Tao said in a report on Monday.

Palladium was up 0.4% at $2,837.38 per ounce, but was set for its first monthly decline in four. Platinum climbed 0.4% to $1,181.76.

Silver gained 0.1% to $27.91 and was heading for its largest monthly gain since December.

Reporting by Brijesh Patel in Bengaluru; Editing by Rashmi Aich, Ramakrishnan M. and Jan Harvey

Adblock test (Why?)



"soft" - Google News
May 31, 2021 at 10:47AM
https://ift.tt/3fUGEcJ

PRECIOUS-Gold eyes biggest monthly rise in ten on soft dollar, inflation risk - Reuters
"soft" - Google News
https://ift.tt/2QZtiPM
https://ift.tt/2KTtFc8

Bagikan Berita Ini

0 Response to "PRECIOUS-Gold eyes biggest monthly rise in ten on soft dollar, inflation risk - Reuters"

Post a Comment

Powered by Blogger.