Gold Falls on The Rise of The Dollar And Bond Yields Ahead of The release of US Inflation Data

Gold prices fell on Friday, May 28th, as the dollar and US Treasury yields rose, while investors awaited the release of personal consumption data in the United States later in the day for indications of inflationary pressures.

Gold fell in spot transactions 0.2% to $ 1891.45 an ounce. The metal gained about 0.6% since the beginning of the week and is heading to record its fourth consecutive weekly gain. US gold futures fell 0.3% to $1,891.60.

The dollar index rose 0.1%, while the benchmark US 10-year Treasury yields advanced to 1.617%, which translates to an increase in the opportunity cost of holding non-yielding gold.

However, investors ’focus is on the US Personal Consumption report due for release later in the day.

As for the other precious metals, silver fell 0.8% to $ 27.64 an ounce, and platinum fell 0.3% to $ 1175.44. Palladium rose 0.3% to $ 2814.36, as prices rose after the Russian company, Nornickel, expected a larger deficit in 2021.