Gold Rises on Dollar Faltering And Stimulus Hopes

Gold rose on Wednesday, February 10, hovering near the peak of a week that it reached in the previous session, as the attractiveness of the yellow metal increased as a hedge against inflation after the dollar fell and hopes for a US stimulus package increased.

And gold rose in spot trading 0.3% to 1842.90 dollars an ounce. Prices reached their highest levels since the second of February to $ 1848.40 on Tuesday. And US gold futures won 0.4% to $ 1845.30. The dollar fell to near its lowest level in two weeks against its rivals.

Higher inflation boosts gold but also raises Treasury yields, which in turn increases its cost of the opportunity to acquire the yellow metal. Investors are now awaiting a speech by Jerome Powell, Chairman of the Federal Reserve, before a hypothetical event of the New York Economic Club by 19:00 GMT.

As for other precious metals, platinum reached its highest level since February 2015 at $ 1208.50, and rose in recent transactions 2.43% to $ 1203.24.

Analysts say the global economic recovery, along with Biden’s bid to support green energy, could push the platinum market to run a deficit this year. Silver gained in spot transactions 0.4% to $ 27.32 an ounce, while palladium rose 0.2% to $ 2323.35.