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PRECIOUS-Gold set for worst week in over a month on dollar strength

Published 09/25/2020, 09:41 AM
Updated 09/25/2020, 09:50 AM
© Reuters.
XAU/USD
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Sept 25 (Reuters) - Gold inched lower on Friday, pressured
by a firm dollar, and was on track for its worst week in over a
month, although renewed hopes of more U.S. stimulus measures
limited the decline.

FUNDAMENTALS
* Spot gold XAU= fell 0.2% to $1,864.47 per ounce by 0113
GMT. Prices are down 4.4% so far for the week.
* U.S. gold futures GCv1 were down 0.4% to $1,870.30.
* The dollar index .DXY is up 1.5% for week, its best
since early-April. USD/
* A firmer dollar makes bullion more expensive for holders
of other currencies.
* As much as $380 billion from the U.S. Congress' last big
coronavirus aid package is unused and could help households and
businesses if lawmakers approve, Federal Reserve Chair Jerome
Powell and Treasury Secretary Steven Mnuchin said on Thursday.
* Democrats in the U.S. House of Representatives are working
on a $2.2 trillion coronavirus package that could be voted on
next week. * Global central banks have rolled out massive stimulus and
slashed interest rates to near zero to counter the economic
damage from the pandemic, helping gold climb over 20% this year.
* The number of Americans filing new claims for unemployment
benefits unexpectedly increased last week, supporting views the
economic recovery was running out of steam. * China's monthly net gold imports via Hong Kong edged lower
in August, data showed, although a slight improvement in
domestic demand pushed total imports to a five-month high.
* China's Shanghai Gold Exchange said investors should
prepare risk contingency plans, raise awareness of risks, manage
positions and invest rationally amid price fluctuations in gold
and silver prices and ahead of long national holidays.
* Silver XAG= fell 1.1% to $22.95 per ounce, platinum
XPT= was down 0.3%, to $846.72 and palladium XPD= was flat
at $2,226.44.

DATA/EVENTS (GMT)
1230 US Durable Goods Aug

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