Commodities News

Gold Up over Weakening Dollar Amid Growth Fears

By Zhang Mengying

Investing.com – Gold was up on Monday morning in Asia as the U.S. dollar weakened on growth fears.

Gold futures were up 0.59% to $1,812.15 by 12:48 PM ET (4:48 AM GMT). The dollar, which normally moves inversely to gold, inched down on Monday morning.

Benchmark U.S. 10-year Treasury yields fell to their lowest level in a month on Friday, giving non-yielding bullion support.

In the U.S. and elsewhere, signs of economic weakness are becoming more apparent. Soft U.S. data suggested downside risks for this Friday’s June payroll report.

Investors now await the minutes from the Fed’s June meeting, due on Wednesday, which are almost certain to sound hawkish given the Fed chose to hike rates by a super-sized 75 bps.

U.S. markets will close on Independence Day.

India raised its basic import duty on gold to 12.5% from 7.5% as the world’s second-largest consumer tries to reduce demand and bring down the trade deficit. Top consumer China saw activity bounce back slowly as COVID-19 curbs eased.

In other precious metals, silver gained 0.62%. Platinum fell 0.44% while palladium fell 0.82%.

Source:investing.com

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