AIRLINK 190.16 Increased By ▲ 1.41 (0.75%)
BOP 12.83 Decreased By ▼ -0.11 (-0.85%)
CNERGY 7.21 Decreased By ▼ -0.01 (-0.14%)
FCCL 43.41 Increased By ▲ 2.86 (7.05%)
FFL 15.39 Increased By ▲ 0.29 (1.92%)
FLYNG 26.37 Increased By ▲ 0.93 (3.66%)
HUBC 130.61 Decreased By ▼ -1.89 (-1.43%)
HUMNL 13.84 Increased By ▲ 0.39 (2.9%)
KEL 4.71 Decreased By ▼ -0.17 (-3.48%)
KOSM 6.70 Increased By ▲ 0.22 (3.4%)
MLCF 49.51 Increased By ▲ 2.37 (5.03%)
OGDC 204.81 Increased By ▲ 0.01 (0%)
PACE 6.41 Increased By ▲ 0.14 (2.23%)
PAEL 40.81 Increased By ▲ 1.82 (4.67%)
PIAHCLA 16.85 Increased By ▲ 0.02 (0.12%)
PIBTL 8.69 Increased By ▲ 0.58 (7.15%)
POWER 11.02 Increased By ▲ 0.33 (3.09%)
PPL 174.44 Increased By ▲ 0.79 (0.45%)
PRL 34.71 Increased By ▲ 0.61 (1.79%)
PTC 24.99 Increased By ▲ 1.50 (6.39%)
SEARL 97.99 Decreased By ▼ -1.01 (-1.02%)
SILK 1.09 Decreased By ▼ -0.01 (-0.91%)
SSGC 31.10 Increased By ▲ 0.48 (1.57%)
SYM 17.81 Decreased By ▼ -0.02 (-0.11%)
TELE 8.30 Increased By ▲ 0.11 (1.34%)
TPLP 12.18 Increased By ▲ 0.06 (0.5%)
TRG 61.66 Increased By ▲ 0.55 (0.9%)
WAVESAPP 11.67 Decreased By ▼ -0.05 (-0.43%)
WTL 1.48 No Change ▼ 0.00 (0%)
YOUW 4.18 Decreased By ▼ -0.03 (-0.71%)
AIRLINK 190.16 Increased By ▲ 1.41 (0.75%)
BOP 12.83 Decreased By ▼ -0.11 (-0.85%)
CNERGY 7.21 Decreased By ▼ -0.01 (-0.14%)
FCCL 43.41 Increased By ▲ 2.86 (7.05%)
FFL 15.39 Increased By ▲ 0.29 (1.92%)
FLYNG 26.37 Increased By ▲ 0.93 (3.66%)
HUBC 130.61 Decreased By ▼ -1.89 (-1.43%)
HUMNL 13.84 Increased By ▲ 0.39 (2.9%)
KEL 4.71 Decreased By ▼ -0.17 (-3.48%)
KOSM 6.70 Increased By ▲ 0.22 (3.4%)
MLCF 49.51 Increased By ▲ 2.37 (5.03%)
OGDC 204.81 Increased By ▲ 0.01 (0%)
PACE 6.41 Increased By ▲ 0.14 (2.23%)
PAEL 40.81 Increased By ▲ 1.82 (4.67%)
PIAHCLA 16.85 Increased By ▲ 0.02 (0.12%)
PIBTL 8.69 Increased By ▲ 0.58 (7.15%)
POWER 11.02 Increased By ▲ 0.33 (3.09%)
PPL 174.44 Increased By ▲ 0.79 (0.45%)
PRL 34.71 Increased By ▲ 0.61 (1.79%)
PTC 24.99 Increased By ▲ 1.50 (6.39%)
SEARL 97.99 Decreased By ▼ -1.01 (-1.02%)
SILK 1.09 Decreased By ▼ -0.01 (-0.91%)
SSGC 31.10 Increased By ▲ 0.48 (1.57%)
SYM 17.81 Decreased By ▼ -0.02 (-0.11%)
TELE 8.30 Increased By ▲ 0.11 (1.34%)
TPLP 12.18 Increased By ▲ 0.06 (0.5%)
TRG 61.66 Increased By ▲ 0.55 (0.9%)
WAVESAPP 11.67 Decreased By ▼ -0.05 (-0.43%)
WTL 1.48 No Change ▼ 0.00 (0%)
YOUW 4.18 Decreased By ▼ -0.03 (-0.71%)
BR100 11,961 Increased By 56.1 (0.47%)
BR30 35,673 Increased By 313.4 (0.89%)
KSE100 113,739 Increased By 396.7 (0.35%)
KSE30 35,328 Increased By 35.3 (0.1%)

NEW YORK: Gold fell on Monday as an uptick in US Treasury yields weighed on bullion’s appeal, while investors awaited key US inflation and retail sales data to gauge the health of the economy.

Spot gold fell 0.6 % to $1,732.14 per ounce by 1:57 p.m. EDT (1757 GMT). US gold futures settled down 0.7% at $1,732.70.

Elevated yields are still an underlying negative for the metals markets that produce no dividend or yield, said Kitco Metals senior analyst Jim Wyckoff. “The bulls lost a little bit of momentum and that is prompting shorter term technical traders to press the sell side, putting prices under pressure.”

US Treasury yields remained slightly higher following a good three-year note auction, and ahead of key data releases this week, including consumer price inflation on Tuesday.

Retail sales data is expected on Thursday.

Higher yields threaten gold’s appeal as an inflation hedge as they increase the opportunity cost of holding bullion, which pays no interest.

Federal Reserve Chair Jerome Powell, in comments aired on Sunday, said the US economy was at an “inflection point,” with hopes of more growth and hiring in the coming months. He also cited risks of a spike in COVID-19 cases if there is a hasty reopening.

A new Fed framework builds in allowances for inflation to run above the central bank’s 2% target for a time without the Fed intervening to rein it in.

Gold is likely to benefit if inflation rises much higher than the target, said StoneX analyst Rhona O’Connell. “If we do start seeing inflation accelerating and people start thinking interest rates are going to go up again, then gold might struggle a bit.”

Among other precious metals, silver fell 1.7% to $24.82 per ounce. Palladium gained 1.3% to $2,674.68 per ounce and platinum dipped 2.3% to $1,170.90, having earlier hit a near two-week low of $1,164.50.

The world’s largest palladium producer, Russia’s Nornickel said it will fully restart operations this month at one of two major mines hit by flooding, earlier than previously expected.

Comments

Comments are closed.