Gold ticks up as dollar stays on back foot

Gold prices inched higher on Monday, helped by a soft dollar ahead of the US Federal Reserve policy meeting this week, while palladium held below a record peak scaled last week.

FUNDAMENTALS

• Spot gold was up 0.1% at $1,779.36 per ounce by 0127 GMT. US gold futures rose 0.1% to $1,780.10 per ounce.

• Palladium was up 0.1% at $2,857.01 per ounce. It back foohad hit a record high of $2,925.14 on Friday.

• The dollar index nursed losses against its rivals, making gold less expensive for other currency holders.

  • US factory activity powered ahead in early April, while retail sales jumped to a record in March and hiring accelerated.

  • Investors poured $16.4 billion into global bond funds and $14.9 billion into money market funds in the week ended April 21, according to Refinitiv Lipper data, as concerns about a global rise in COVID-19 cases prompted moves towards safer assets.

  • A partnership between miners Newmont and Barrick in Chile said on Friday it would work with local communities to boost development of its Norte Abierto gold-copper project despite a setback in the courts this week.

  • Speculators raised their bullish positions in COMEX gold in the week to April 20, the US Commodity Futures Trading Commission said on Friday.

  • India's physical gold demand faltered last week as strict restrictions to contain the spread of COVID-19 kept buyers away.

  • Zimbabwe's gold production fell 30% to 3.98 tonnes in the first quarter of this year, central bank data showed.

  • Silver rose 0.2% to $26.04 per ounce. Platinum was up 0.3% at $1,233.48.