Gold Falling With Dollar’s Rally, But Heading For Best Week in More Than 3 Months

Gold fell on Friday as the dollar rose, but the yellow metal is on track to record its best weekly performance since late July, thanks to hopes of more central bank support, as investors bet on a split in the US Congress under the presidency of Joe Biden.

And gold fell in immediate transactions 0.5% to 1939.10 dollars an ounce. Prices rose 2.4% on Thursday thanks to the weakening dollar, posting weekly gains of 3.2%.

US gold futures fell 0.3% to $ 1940.20 an ounce.

The dollar rose 0.2%, which reduces the attractiveness of gold to holders of other currencies.

Democratic candidate Joe Biden is close to victory, but vote counting is still underway in important states.

But the prospects of a split in Congress, reducing the chances of providing immediate stimulus, lead to speculation that the Federal Reserve may close the gap.

And interest rates near zero in light of massive stimulus measures driven by the global pandemic helped gold that does not generate a return, which is considered a hedge against inflation, to rise more than 27% since the beginning of this year.

As for the other precious metals, silver fell 0.9% to $ 25.10 an ounce. Platinum was little changed at $ 892.46, while palladium gained 0.7% to $ 2,392.65.