AIRLINK 191.54 Decreased By ▼ -21.28 (-10%)
BOP 10.23 Decreased By ▼ -0.02 (-0.2%)
CNERGY 6.69 Decreased By ▼ -0.31 (-4.43%)
FCCL 33.02 Decreased By ▼ -0.45 (-1.34%)
FFL 16.60 Decreased By ▼ -1.04 (-5.9%)
FLYNG 22.45 Increased By ▲ 0.63 (2.89%)
HUBC 126.60 Decreased By ▼ -2.51 (-1.94%)
HUMNL 13.83 Decreased By ▼ -0.03 (-0.22%)
KEL 4.79 Decreased By ▼ -0.07 (-1.44%)
KOSM 6.35 Decreased By ▼ -0.58 (-8.37%)
MLCF 42.10 Decreased By ▼ -1.53 (-3.51%)
OGDC 213.01 Increased By ▲ 0.06 (0.03%)
PACE 7.05 Decreased By ▼ -0.17 (-2.35%)
PAEL 40.30 Decreased By ▼ -0.87 (-2.11%)
PIAHCLA 16.85 Increased By ▲ 0.02 (0.12%)
PIBTL 8.25 Decreased By ▼ -0.38 (-4.4%)
POWER 8.85 Increased By ▲ 0.04 (0.45%)
PPL 182.89 Decreased By ▼ -0.14 (-0.08%)
PRL 38.10 Decreased By ▼ -1.53 (-3.86%)
PTC 23.90 Decreased By ▼ -0.83 (-3.36%)
SEARL 93.50 Decreased By ▼ -4.51 (-4.6%)
SILK 1.00 Decreased By ▼ -0.01 (-0.99%)
SSGC 39.85 Decreased By ▼ -1.88 (-4.51%)
SYM 18.44 Decreased By ▼ -0.42 (-2.23%)
TELE 8.66 Decreased By ▼ -0.34 (-3.78%)
TPLP 12.05 Decreased By ▼ -0.35 (-2.82%)
TRG 64.50 Decreased By ▼ -1.18 (-1.8%)
WAVESAPP 10.50 Decreased By ▼ -0.48 (-4.37%)
WTL 1.78 Decreased By ▼ -0.01 (-0.56%)
YOUW 3.96 Decreased By ▼ -0.07 (-1.74%)
BR100 11,697 Decreased By -168.8 (-1.42%)
BR30 35,252 Decreased By -445.3 (-1.25%)
KSE100 112,638 Decreased By -1510.2 (-1.32%)
KSE30 35,458 Decreased By -494 (-1.37%)
Markets

Gold prices off 2-1/2-month low as US Treasury yields pull back

  • US retail sales rebounded sharply in January, while US producer prices increased by the most since 2009, suggesting inflation was starting to creep up.
Published February 18, 2021

Gold prices on Thursday clawed back from a 2-1/2-month low marked in the previous session, as US Treasury yields retreated, lifting the non-yielding bullion's appeal.

Spot gold was up 0.4% at $1,782.64 per ounce by 0336 GMT, having dropped to its lowest since Nov. 30 at $1,768.60 on Wednesday. US gold futures gained 0.6% to $1,783.10.

"The US long-dated yields backing of this week's highs is offering some support. It also appears dip buyers from China returned from Lunar New Year holidays," said OANDA senior market analyst Jeffrey Halley.

Benchmark 10-year Treasury yields retreated from a near one-year peak hit on Wednesday. Lower yields reduce the opportunity cost of holding bullion, which pays no interest.

Federal Reserve officials were still prepared to keep their easy monetary policy on track to help heal the economy ailing from the impact of the coronavirus pandemic, minutes of the US central bank's January policy meeting showed.

US retail sales rebounded sharply in January, while US producer prices increased by the most since 2009, suggesting inflation was starting to creep up.

Investor focus remained on the developments of a $1.9 trillion US coronavirus relief plan.

"The retail sales number overnight was driven by Federal stimulus cheques, and if anything, highlights that they must keep up stimulus to keep the economy going," Halley said.

Gold is viewed as a hedge against inflation, likely from widespread stimulus.

Silver eased 0.1% to $27.32 an ounce. Platinum gained 2.2% to $1,280.54 and palladium rose 0.7% to $2,387.93.

Comments

Comments are closed.