Gold takes heart from softer dollar
The metal was stronger as the greenback faltered after softer than expected US inflation data dimmed the case for a faster pace of US policy tightening
Bengaluru — Gold rose on Friday as the dollar faltered after softer than expected US inflation data dimmed the case for a faster pace of policy tightening by the US Federal Reserve, amid signs of movement in the China-US trade standoff. Spot gold was up 0.4% at $1,205.18/oz as of 4.08am GMT, after having hit its highest since August 28 at $1,212.65 on Thursday. It has gained 0.8% so far this week, heading for its first weekly gain in three. US gold futures were mostly steady at $1,208.50/oz. "The trade negotiation is a favour to the [gold] market with the dollar a little bit soft and some shorts being covered. There is also some physical buying in Shanghai, with premiums rising," said Peter Fung, head of dealing at Wing Fung Precious Metals in Hong Kong. The months-long trade rift between Washington and Beijing has prompted investors to buy the dollar in the belief that the US has less to lose from the dispute. Demand for the dollar eased this week on news that the White House had i...
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