Gold Rises as Dollar And Yields Fall And All Eyes on US Economic Data

Gold prices rose Thursday, April 15th, supported by the weak dollar and declining US bond yields, while investors awaited the weekly US jobless claims report and March retail sales data for more clarity on the recovery of the world’s largest economy.

Spot gold rose 0.5% to $1744.60 an ounce. US gold futures rose 0.6% to $1745.80 an ounce.

The dollar fell to its lowest level in four weeks against its rivals, which reduces the cost of gold for holders of the rest of the currencies.

Meanwhile, record 10-year US Treasury yields closed near their lowest level in three weeks. Lower bond yields reduce the opportunity cost of holding non-yielding gold.

Fed Chairman Jerome Powell said on Wednesday that the Fed will reduce its monthly bond purchases before committing to raise interest rates.

Investors are now awaiting US weekly jobless claims and retail sales data for March, due for release later today, for more indications about the recovery of the world’s largest economy.

In terms of other precious metals, silver gained 0.2% to $25.47 and palladium gained 1.7% to $2721.96. Platinum rose 1.1% to $1182.97.