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PRECIOUS-Gold subdued on firmer dollar; focus on U.S. jobs report

Published 06/05/2021, 02:37
Updated 06/05/2021, 02:42
© Reuters.
XAU/USD
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May 6 (Reuters) - Gold prices inched lower on Thursday due
to a stronger dollar, while investors awaited the release of
U.S. non-farm payrolls data for April due later this week.

FUNDAMENTALS
* Spot gold XAU= was down 0.1% at $1,785.05 per ounce by
0126 GMT.
* U.S. gold futures GCv1 was steady at $1,785.10 per
ounce.
* The dollar index .DXY hovered close to a two-week high,
making gold more expensive for other currency holders. USD/
* U.S. private payrolls surged by the most in seven months
in April as companies rushed to boost production amid a surge in
demand, suggesting the economy gained further momentum early in
the second quarter, powered by massive government aid and rising
COVID-19 vaccinations. * Investors look forward to Friday's U.S. monthly jobs
report, which is expected to show nonfarm payrolls increased by
978,000 jobs last month. * The U.S. economy may be growing more quickly and
unemployment falling faster than the core of Federal Reserve
policymakers projected in March, Fed Governor Michelle Bowman
said on Wednesday. * Meanwhile, Chicago Federal Reserve Bank President Charles
Evans on Wednesday reiterated his worries about reaching the
Fed's 2% inflation goal and said he expects monetary policy to
stay super-easy for some time. * Lower interest rates decrease the opportunity cost of
holding non-yielding bullion.
* The Bank of England will say on Thursday Britain's economy
is heading for a much stronger recovery this year than it
previously expected and it might start to slow its pandemic
emergency support. * Palladium XPD= fell 0.1% to $2,968.78 per ounce, after
scaling an all-time high of $3,017.18 per ounce on Tuesday,
driven by supply shortfalls.
* Silver XAG= was down 0.5% at $26.37 per ounce, while
platinum XPT= dipped 0.4% to $1,220.16.

DATA/EVENTS (GMT)
1100 UK BOE Bank Rate May
1100 UK GB BOE QE Corp May
1230 US Initial Jobless Clm Weekly

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