ANL 29.80 Decreased By ▼ -1.55 (-4.94%)
ASC 20.40 Decreased By ▼ -0.50 (-2.39%)
ASL 23.60 Decreased By ▼ -0.30 (-1.26%)
BOP 8.26 Decreased By ▼ -0.15 (-1.78%)
BYCO 9.88 Decreased By ▼ -0.16 (-1.59%)
FCCL 21.85 Decreased By ▼ -0.35 (-1.58%)
FFBL 26.91 Decreased By ▼ -0.53 (-1.93%)
FFL 20.00 Decreased By ▼ -0.79 (-3.8%)
FNEL 8.74 Decreased By ▼ -0.11 (-1.24%)
GGGL 26.40 Decreased By ▼ -1.05 (-3.83%)
GGL 46.04 Decreased By ▼ -1.06 (-2.25%)
HUMNL 7.05 Decreased By ▼ -0.35 (-4.73%)
JSCL 21.62 Decreased By ▼ -0.88 (-3.91%)
KAPCO 38.70 Decreased By ▼ -1.10 (-2.76%)
KEL 3.90 Decreased By ▼ -0.02 (-0.51%)
MDTL 3.56 Decreased By ▼ -0.17 (-4.56%)
MLCF 43.50 Decreased By ▼ -0.77 (-1.74%)
NETSOL 158.50 Decreased By ▼ -7.45 (-4.49%)
PACE 7.45 Decreased By ▼ -0.22 (-2.87%)
PAEL 33.65 Decreased By ▼ -0.36 (-1.06%)
PIBTL 11.00 Decreased By ▼ -0.25 (-2.22%)
POWER 9.20 No Change ▼ 0.00 (0%)
PRL 23.00 Decreased By ▼ -0.80 (-3.36%)
PTC 11.60 Decreased By ▼ -0.13 (-1.11%)
SILK 1.83 Increased By ▲ 0.01 (0.55%)
SNGP 49.80 Increased By ▲ 0.20 (0.4%)
TELE 14.80 Decreased By ▼ -0.26 (-1.73%)
TRG 159.45 Decreased By ▼ -6.75 (-4.06%)
UNITY 40.45 Decreased By ▼ -2.52 (-5.86%)
WTL 3.59 Decreased By ▼ -0.15 (-4.01%)
BR100 5,096 Decreased By ▼ -70.59 (-1.37%)
BR30 25,755 Decreased By ▼ -734.03 (-2.77%)
KSE100 47,318 Decreased By ▼ -368.96 (-0.77%)
KSE30 18,974 Decreased By ▼ -155.31 (-0.81%)

Coronavirus
VERY HIGH Source: covid.gov.pk
Pakistan Deaths
23,133
4424hr
Pakistan Cases
1,015,827
4,11924hr
7.88% positivity
Sindh
371,762
Punjab
354,312
Balochistan
29,861
Islamabad
86,226
KPK
142,400
Markets

Gold slips off 1-week peak as bond yields bounce back

  • A $1.9 trillion US COVID-19 relief bill was also approved on Wednesday.
12 Mar 2021

Gold eased off a one-week high on Thursday after US Treasury yields rose after better-than-expected jobless claims data.

Spot gold fell 0.1% to $1,725.00 per ounce by 1:57 p.m EST (1856 GMT), after hitting its highest since March 3 at $1,739.63 earlier. US gold futures settled little changed at $1,722.60.

"10-year Treasury yields have now bounced again, which has stabilized the dollar and is taking some air out of gold," said Tai Wong, a trader at investment bank BMO in New York.

"We may have seen short-term lows at $1,680 per ounce, but a higher-yield environment is likely to prevent a significant rally; Perhaps a $1,700-$1,800 range in the near term as market tries to find equilibrium in yields."

Data showed the number of Americans filing new claims for jobless benefits dropped to a four-month low last week.

Better-than-expected economic numbers lifted 10-year Treasury yields above 1.5%, while the dollar index moved away from a one-week low.

"Bond yields have been rising in recent weeks on worries about problematic inflation surfacing as the major economies of the world have turned on their money spigots wide open over the past year," said Kitco Metals senior analyst Jim Wyckoff in a note.

While gold is considered a hedge against inflation from widespread stimulus, higher bond yields this year have threatened that status as they translate into a higher opportunity cost of holding bullion.

The European Central Bank said it would use its 1.85 trillion Pandemic Emergency Purchase Programme more generously over coming months to stop any unwarranted rise in debt financing costs.

A $1.9 trillion US COVID-19 relief bill was also approved on Wednesday.

Silver fell 0.2% to $26.12 per ounce. Palladium eased 0.2% to $1,200.11 per ounce, while platinum gained 1.6% to $2,343.95.