Rising U.S. Treasury yields and dollar push gold down

Rising U.S. Treasury yields and dollar push gold down

The firming dollar and the surging U.S. Treasury yields caused the gold to go down on Monday trade in Asia.

Gold futures lowered 0.38% at $1738.25. Encouraging U.S. data released on Friday resulted in a big risk appetite among investors, turning away from the yellow metal.

The producer price index for the month of March marked the highest annual rise in nine-and-a-half years. More data are anticipated to be released this week, including consumer price index, retail sales, industrial output figures, and the Fed’s Beige Book.

All other precious metals joined the yellow metal on a slump as silver declined 0.4%, palladium lowered 0.3% and platinum lost 0.6%.

Jerome Powell, U.S. Federal Reserve Chair, said in an interview on Sunday that the U.S. economy is at an “inflection point”. Furthermore, Powell hoped inflation and employment in the coming months would accelerate and warned of the risks if a rapid reopening leads to a further rise in coronavirus infections.

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.ai or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?