* Dollar index down 0.7%
* U.S. job openings increased more than expected in February
* Investors await Fed minutes due on Wednesday
(New throughout, adds comments, updates prices)
By Shreyansi Singh
April 6 (Reuters) - Gold prices rose to their highest in more than a week on Tuesday, supported by a weaker dollar and as U.S. Treasury yields retreated.
Spot gold XAU= was up 0.8% at $1,742.78 an ounce by 11:03 a.m. EDT (1503 GMT) after hitting its highest level since March 25 at $1,744.30. U.S. gold futures GCv1 gained 1% to $1,745.20.
As the yields fall, the reduced opportunity cost of being invested in bonds, along with a weaker dollar are likely primary reasons why gold is doing better, said Bart Melek, head of commodity strategies at TD Securities.
"Investors believe that we are not going to see another huge run-up in the yields and that has prompted gold to just technically rebound," Melek said.
The dollar .DXY fell 0.7% against a basket of rivals, making gold cheaper for holders of other currencies, while benchmark U.S. Treasury yields drifted lower. USD/ US/
Wall Street's main indexes treaded water on Tuesday as investors stayed on the sidelines a day after the S&P 500 and the Dow closed at record highs on renewed recovery hopes, while data showed U.S. job openings increased more than expected in February. .N the gold story to return to a firmer footing ... we need to see either some geopolitical concerns or inflation pick up more aggressively than the market has been pricing," said Saxo Bank analyst Ole Hansen.
Investors are also awaiting minutes on Wednesday from the Federal Reserve's last meeting for more cues on its monetary policy. Fed Bank President Loretta Mester on Monday said the U.S. economic outlook is brightening, though the U.S. central bank should stick to its easy policy to support growth further. other precious metals, silver XAG= rose 1.3% to $25.21 an ounce, palladium XPD= added 0.8% to $2,686.21 and platinum XPT= gained 2.5% to $1,238.60.