Gold rises with the increase in demand due to the decline of the dollar – Al-Manar Channel website – Lebanon


Gold rose today, Monday, to hover near a seven-week high it reached in the previous session, and the precious metal was supported by the decline in the dollar and the decline in US Treasury bond yields.

Spot gold rose 0.1 percent to $ 1777.65 an ounce, by 04:50 GMT, after it reached last Friday its highest level since February 25 at $ 1783.55.

US gold futures also fell 0.1 percent to $ 1777.80 an ounce.

Michael McCarthy, senior market analyst at CMC Markets, said: “At the moment, the combination of the fall of the US dollar and declining interest rates supports gold, despite the improvement in the economic outlook.”

“There is momentum, but of course we are in a very important stage after that level of $ 1765 is exceeded.” With the level of $ 1765 surpassed, the outlook is positive for gold in the short term.

The dollar index fell to nearly a month’s low against rival currencies, making gold less expensive for holders of other currencies.

The yield on the benchmark 10-year US Treasury bonds also fell to its lowest level in several weeks, which it touched last week. Lower bond yields reduce the opportunity cost of zero-yielding gold.

Source: Reuters


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