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PRECIOUS-Gold edges higher; eyes best week in seven as yields, dollar dip

Published 12/03/2021, 12:17 pm
Updated 12/03/2021, 12:18 pm
© Reuters.
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March 12 (Reuters) - Gold prices inched up on Friday and were on course to mark their best week in seven, as easing U.S. Treasury yields and dollar lifted the metal's appeal.

FUNDAMENTALS

* Spot gold XAU= rose 0.2% to $1,724.80 per ounce by 0101 GMT. Prices were up 1.4% for the week so far, their biggest jump since the week ended Jan. 22.

* U.S. gold futures GCv1 was steady at $1,723.10.

* Benchmark U.S. Treasury yields US10YT=RR pulled further down from a more than one-year peak hit last week, reducing the opportunity cost of holding non-interest paying gold.

* The dollar .DXY hovered near a one-week low against rivals. USD/

* The European Central Bank said on Thursday it would accelerate money-printing to keep a lid on euro zone borrowing costs, signalling to sceptical markets that it is determined to lay the foundation for a solid economic recovery. The number of Americans filing new claims for jobless benefits dropped to a four-month low last week. President Joe Biden prepared to tell Americans in a televised address that he is taking aggressive action to speed COVID-19 vaccinations and move the country closer to normality by July 4, hours after signing his $1.9 trillion stimulus bill into law on Thursday. Holdings of the world's largest gold-backed exchange-traded fund, SPDR Gold Trust GLD , fell 0.5% to 1,055.27 tonnes on Thursday. GOL/ETF

* Silver XAG= climbed 0.1% to $26.11 an ounce, and was on track for its best week since late January with a 3.7% rise. Palladium XPD= gained 0.2% to $2,349.52.

* Platinum XPT= rose 1.2% to $1,209.10 and was set to post its best week in four with a 7% gain.

DATA/EVENTS (GMT) 0700 Germany HICP Final YY

Feb 0700 UK

GDP Est 3M/3M

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Manufacturing Output MM Jan 1500 US

U Mich Sentiment Prelim March

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