AGL 6.80 Increased By ▲ 0.08 (1.19%)
ANL 9.22 Decreased By ▼ -0.53 (-5.44%)
AVN 74.20 Decreased By ▼ -1.30 (-1.72%)
BOP 5.43 Decreased By ▼ -0.01 (-0.18%)
CNERGY 4.89 Decreased By ▼ -0.06 (-1.21%)
EFERT 78.00 Decreased By ▼ -0.05 (-0.06%)
EPCL 54.70 Decreased By ▼ -0.70 (-1.26%)
FCCL 14.93 Decreased By ▼ -0.37 (-2.42%)
FFL 6.34 Decreased By ▼ -0.14 (-2.16%)
FLYNG 7.12 Decreased By ▼ -0.03 (-0.42%)
GGGL 10.56 Increased By ▲ 0.01 (0.09%)
GGL 16.43 Decreased By ▼ -0.12 (-0.73%)
GTECH 8.21 Decreased By ▼ -0.21 (-2.49%)
HUMNL 6.35 Decreased By ▼ -0.06 (-0.94%)
KEL 2.95 Decreased By ▼ -0.04 (-1.34%)
LOTCHEM 28.60 Decreased By ▼ -0.25 (-0.87%)
MLCF 27.80 Decreased By ▼ -0.50 (-1.77%)
OGDC 75.30 Decreased By ▼ -0.20 (-0.26%)
PAEL 15.80 Increased By ▲ 0.26 (1.67%)
PIBTL 5.60 Increased By ▲ 0.24 (4.48%)
PRL 17.22 Decreased By ▼ -0.10 (-0.58%)
SILK 1.06 Increased By ▲ 0.01 (0.95%)
TELE 10.30 Decreased By ▼ -0.20 (-1.9%)
TPL 8.00 No Change ▼ 0.00 (0%)
TPLP 20.80 No Change ▼ 0.00 (0%)
TREET 22.60 Decreased By ▼ -0.40 (-1.74%)
TRG 128.85 Increased By ▲ 6.15 (5.01%)
UNITY 22.50 Decreased By ▼ -0.08 (-0.35%)
WAVES 12.00 Increased By ▲ 0.70 (6.19%)
WTL 1.13 Decreased By ▼ -0.01 (-0.88%)
BR100 4,100 Decreased By -4 (-0.1%)
BR30 15,533 Increased By 64.6 (0.42%)
KSE100 41,129 Increased By 114.8 (0.28%)
KSE30 15,337 Increased By 24.6 (0.16%)
Markets

Gold firms as dollar slips, poised for weekly gain

  • Palladium, platinum set for weekly drops
  • Dollar eases from near highest in 2021
  • Gold set for first weekly gain in a month
Published October 1, 2021
Follow us

Gold inched higher on Friday as a weaker dollar and worries about rising inflation and risks to growth countered bets for looming interest rate hikes, keeping bullion on course for a small weekly gain.

Spot gold gained 0.1% to $1,758.58 per ounce by 1424 GMT. US gold futures rose 0.1% to $1,759.00.

The dollar pulled back, making gold less expensive in other currencies, encouraging demand.

Gold was on track for its first weekly uptick since Sept. 3, rising about 0.6% so far, as a retreat in the dollar on Thursday helped it bounce about 2%.

Dips in the dollar and lower bond yields are keeping gold supported, while investors reposition for the fourth quarter, said Phillip Streible, chief market strategist at Blue Line Futures in Chicago.

Gold slides over 1% as US yields jump on rate hike bets

Helping gold's appeal, European and Asian stocks fell on worries about inflation and possible slowdown in growth.

"Anyone trying to convince market participants that inflation is not here, that's a fool's game," and with soaring energy prices due to a crunch in China and Europe likely to hit growth and earnings, that will leave us with a volatile October and, in turn, support gold, Saxo Bank analyst Ole Hansen said.

Prospects that the US Fed may still wind down economic support this year also continued to pressure gold, some analysts said, since reduced stimulus and higher interest rates tend to push government bond yields up, raising gold's opportunity cost.

Silver added 1% to $22.42 per ounce.

Platinum rose 1% to $972.64 per ounce, while palladium fell 0.27 % to $1,904.60, with both en route to weekly dips.

Apart from the semiconductor tightness hurting the automobile industry, amid low liquidity, palladium's declines are also driven by general weakness "across the industrial metals coming out of China," Hansen added.

Comments

Comments are closed.