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Gulf Today Report
Gold prices fell on Thursday after US Treasury yields and the dollar regained and investors wait for US President Joe Biden’s coronavirus stimulus proposal.
Spot gold fell 0.1% to $1,842.51 per ounce while US gold futures slipped 0.8% to $1,839.80.
According to reports, Joe Biden’s coronavirus relief aid plan expected later in the day amounts to about $2 trillion. It has pushed benchmark 10-year Treasury yields in near ten-month highs and lifted the dollar.
Margaret Yang, DailyFX strategist said "fiscal stimulus will help boost economic recovery, leading to rising real interest rates as well as bring up Federal Reserve's tapering hopes; on the flip side, it'll also increase the inflation outlook."
She added that gold is likely to struggle as the stimulus will have both positive and negative effect on it.
"Gold prices can continue to lift, but we also acknowledge the bear case scenario, where coronavirus vaccines roll out quickly and successfully lead to the pandemic coming under control through the year," said Lachlan Shaw, National Australia Bank's head of commodity research.
Silver rose 0.4% to $25.24 an ounce. Platinum climbed 0.6% to $1,100.93, while palladium eased 0.1% to $2,382.33.
Spot gold was steady at $1,772.14 per ounce by 0703 GMT, just $6.92 shy of a near eight-year high of $1,779.06 hit last week. U.S. gold futures rose 0.3% to $1,787.30. Bullion, with quarterly gains of more than 12%.
Spot gold hit its highest since early October 2012 at $1,788.96 in early trade, and by 0958 GMT was at $1,787.31 per ounce, up 0.4%. U.S. gold futures were up 0.3% at $1,805.10 per ounce.
Spot Gold rose 0.2% to $1,945.56 per ounce by 0918 GMT. US Gold futures rose 0.3% to $1,954.20 per ounce.
Opec on Tuesday raised its forecast for growth in world oil demand this year on expectations the pandemic will subside, providing help for the group and its allies in their efforts to support the market.
Adnoc Logistics & Services (Adnoc L&S), the shipping and maritime logistics arm of Abu Dhabi National Oil Company (Adnoc), on Tuesday announced the acquisition of two additional Very Large Crude Carriers (VLCC),
Pakistan’s exports of goods and services to Germany has witnessed an increase of 8.79 percent during the eight months of financial year (2020-21) as compared to the corresponding period of last year, State Bank of Pakistan (SBP) reported.