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PRECIOUS-Gold holds near 9-month low on stronger dollar, higher U.S. yields

Published 09/03/2021, 02:03
Updated 09/03/2021, 02:06
© Reuters.
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March 9 (Reuters) - Gold prices hovered around a nine-month
low on Tuesday, as a firmer dollar and higher U.S. Treasury
yields continued to diminish the metal's appeal.

FUNDAMENTALS
* Spot gold XAU= was little changed at $1,681.81 per ounce
by 0036 GMT, after hitting its lowest since June 5 at $1,676.10
on Monday. U.S. gold futures GCv1 climbed 0.1% to $1,679.30.
* U.S. 10-year Treasury yields held at elevated levels,
increasing the opportunity cost of holding bullion, which pays
no returns, while the dollar scaled an over three-month peak.
US/ USD/
* U.S. Treasury Secretary Janet Yellen said on Monday
President Joe Biden's $1.9 trillion coronavirus aid package will
provide enough resources to fuel a "very strong" U.S. economic
recovery. * The U.S. House of Representatives will take up by
Wednesday the Senate version of the coronavirus relief package,
Speaker Nancy Pelosi said. * The European Central Bank blamed large bond redemptions
for failing to increase the pace of its emergency purchases last
week, missing market expectations and adding to doubts about its
commitment to supporting a pandemic-stricken, debt-laden
economy. * The Federal Reserve announced it was extending by three
months to June 30 an emergency liquidity facility meant to help
lenders extend relief to small businesses under the Paycheck
Protection Program. * Holdings of the world's largest gold-backed
exchange-traded fund, SPDR Gold Trust GLD fell 0.5% to
1,063.43 tonnes on Monday from 1,069.26 tonnes on
Friday. GOL/ETF
* Silver XAG= rose 0.1% to $25.12 an ounce. Palladium
XPD= climbed 0.5% to $2,326.91. Platinum XPT= gained 0.1% to
$1,136.57.

DATA/EVENTS (GMT)
1000 EU GDP Revised QQ, YY Q4

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