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PRECIOUS-Gold rises as softer dollar, recovery concerns lift demand

Published 08/21/2020, 08:56 AM
Updated 08/21/2020, 09:00 AM
© Reuters.
XAU/USD
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Aug 21 (Reuters) - Gold rose on Friday as the dollar
weakened after downbeat U.S. jobless claims data reinforced
fears of a slower recovery from the pandemic-induced economic
crisis, keeping bullion on track for a weekly gain.

FUNDAMENTALS
* Spot gold XAU= was up 0.4% at $1,949.83 per ounce by
0030 GMT. Gold has risen nearly 0.5% so far this week after
registering its worst week in five months.
* U.S. gold futures GCv1 rose 0.6% to $1,958.30.
* The dollar index .DXY fell 0.2% against its rivals,
making gold cheaper for holders of other currencies. USD/
* Data on Thursday showed the number of Americans filing a
new claim for unemployment benefits rose unexpectedly back above
the 1 million mark last week, a setback for a struggling U.S.
job market crippled by the coronavirus pandemic. * More than 22.56 million people have been reported to be
infected by the novel coronavirus globally and 787,814​ have
died, according to a Reuters tally. * The readout of the Federal Reserve's July 28-29 meeting,
published on Wednesday, showed policymakers concerned that an
economic recovery faced a highly uncertain path. * Japan's core consumer prices were stubbornly unchanged in
July, dashing hopes for a modest rise as the pandemic hit
household demand. * Meanwhile, the Trump administration declined to
acknowledge any plans to meet with China over the Phase 1 trade
deal after the commerce ministry in Beijing said bilateral talks
would be held "in the coming days". * Asian equities were poised to rise on Friday after a
tech-driven rally on Wall Street. MKTS/GLOB
* Silver XAG= gained 0.6% to $27.38 per ounce, platinum
XPT= climbed 0.5% to $922.24, and palladium XPD= rose 0.2%
to $2,185.54.

DATA/EVENTS (GMT)
0800 EU Markit Mfg, Serv, Comp Flash PMIs Aug
0830 UK Flash Composite, Mfg, Serv PMIs Aug
1345 US Markit Mfg, Serv, Comp Flash PMIs Aug
1400 US Existing Home Sales July

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