Gold eases on profit-taking, but set for best week since Dec 2008
- Asian stocks rose as investors wagered policymakers will roll out additional stimulus measures to combat the pandemic after U.S. unemployment filings surged to record 3.28 million last week.
- Autocatalysts platinum and palladium, meanwhile, were poised for their biggest weekly gains on record, as a lockdown in major producer South Africa stoked supply worries.
Autocatalysts platinum and palladium, meanwhile, were poised for their biggest weekly gains on record, as a lockdown in major producer South Africa stoked supply worries.
Spot gold fell 0.9pc to $1,615.15 per ounce by 0750 GMT, after five straight sessions of gains. U.S. gold futures slipped 1.8pc to $1,621.80 per ounce.
Bullion has gained 8pc so far this week, supported by weak U.S. unemployment data and the Federal Reserve's unprecedented economic stimulus measures.
"I don't see any real reason to sell gold at the moment other than perhaps to book profits before the weekend," said Stephen Innes, chief market strategist at financial services firm AxiCorp.
"Everything still looks good for gold except the dreaded need for distress sales."
The U.S. House of Representatives Speaker Nancy Pelosi said she expected the chamber to pass an estimated $2.2 trillion virus relief bill when it meets on Friday, following the Senate's approval on Wednesday.
Asian stocks rose as investors wagered policymakers will roll out additional stimulus measures to combat the pandemic after U.S. unemployment filings surged to record 3.28 million last week.
The data was supportive for gold as it fuelled expectations for more fiscal measures, more quantitative easing and more action by the Fed, said Avtar Sandu, a senior commodities manager at Phillip Futures.
The Fed's total balance sheet size exploded by more than half a trillion dollars in a single week, roughly twice the pace of the next-largest weekly expansion during the 2008 financial crisis.
Meanwhile, leaders of the Group of 20 major economies pledged on Thursday to inject more than $5 trillion into the global economy to limit job and income losses.
Gold market participants also kept a close eye on physical supply as virus-led lockdowns stalled supply chains.
China's net gold imports via Hong Kong halved in February from the previous month, as the outbreak slowed activity.
Palladium was up 0.9pc at $2,353.63 per ounce, having risen more than 43pc so far this week, while platinum climbed 0.7pc to $740.66 per ounce and gained 21pc in the week.
Silver rose 0.1pc to $14.40 per ounce, heading for its best week since 2008.