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PRECIOUS-Gold rises as softer dollar, recovery concerns lift demand

Published 21/08/2020, 10:56 am
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Aug 21 (Reuters) - Gold rose on Friday as the dollar weakened after downbeat U.S. jobless claims data reinforced fears of a slower recovery from the pandemic-induced economic crisis, keeping bullion on track for a weekly gain.

FUNDAMENTALS

* Spot gold XAU= was up 0.4% at $1,949.83 per ounce by 0030 GMT. Gold has risen nearly 0.5% so far this week after registering its worst week in five months.

* U.S. gold futures GCv1 rose 0.6% to $1,958.30.

* The dollar index .DXY fell 0.2% against its rivals, making gold cheaper for holders of other currencies. USD/

* Data on Thursday showed the number of Americans filing a new claim for unemployment benefits rose unexpectedly back above the 1 million mark last week, a setback for a struggling U.S. job market crippled by the coronavirus pandemic. More than 22.56 million people have been reported to be infected by the novel coronavirus globally and 787,814​ have died, according to a Reuters tally. The readout of the Federal Reserve's July 28-29 meeting, published on Wednesday, showed policymakers concerned that an economic recovery faced a highly uncertain path. Japan's core consumer prices were stubbornly unchanged in July, dashing hopes for a modest rise as the pandemic hit household demand. Meanwhile, the Trump administration declined to acknowledge any plans to meet with China over the Phase 1 trade deal after the commerce ministry in Beijing said bilateral talks would be held "in the coming days". Asian equities were poised to rise on Friday after a tech-driven rally on Wall Street. MKTS/GLOB

* Silver XAG= gained 0.6% to $27.38 per ounce, platinum XPT= climbed 0.5% to $922.24, and palladium XPD= rose 0.2% to $2,185.54.

DATA/EVENTS (GMT) 0800 EU

Markit Mfg, Serv, Comp Flash PMIs Aug 0830 UK

Flash Composite, Mfg, Serv PMIs

Aug 1345 US

Markit Mfg, Serv, Comp Flash PMIs Aug 1400 US

Existing Home Sales

July

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