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PRECIOUS-Gold rises on poor U.S. jobs data, firmer dollar caps gains

Published 04/06/2020, 09:21 AM
Updated 04/06/2020, 09:30 AM
© Reuters.
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April 6 (Reuters) - Gold prices inched higher on Monday as
bleak U.S. nonfarm payrolls data underscored the deepening
economic impact of the coronavirus pandemic, although a stronger
dollar limited the metal's upside.

FUNDAMENTALS
* Spot gold XAU= rose 0.2% to $1,618.90 per ounce by 0053
GMT. U.S. gold futures GCv1 were steady at $1,645.90.
* The U.S. Labor Department's report on Friday showed that
the economy shed 701,000 jobs in March, ending a historic 113
straight months of employment growth, as stringent measures to
control the coronavirus outbreak hurt businesses and factories.
* The dollar .DXY rose to a more than one-week high
against key rivals, making gold costlier for investors holding
other currencies. USD/
* A top official at the U.S. Federal Reserve on Sunday said
the $2.3 trillion economic relief bill approved by Congress was
appropriately sized and that a further relief effort may not be
needed if support efforts are well executed. * British consumer confidence has recorded its biggest fall
in more than 45 years, a survey showed on Monday, as a widening
shutdown of the economy to slow the spread of the virus hammered
households' financial hopes. * The Bank of England will not resort to irreversibly
printing money in order to fund a surge in government spending
as it tries to shield Britain's economy from the coronavirus
crisis, its governor Andrew Bailey said on Sunday. * Japanese Prime Minister Shinzo Abe will declare a state of
emergency over the pandemic as early as Tuesday, the Yomiuri
newspaper reported, as the number of infections topped 1,000 in
the capital, Tokyo. * SPDR Gold Trust GLD , the world's largest gold-backed
exchange-traded fund, said its holdings rose 0.72% to 978.99
tonnes on Friday. GOL/ETF
* Hedge funds and money managers reduced their bullish
positions on COMEX gold and increased them in silver contracts
in the week to March 31, the U.S. Commodity Futures Trading
Commission (CFTC) said on Friday. CFTC/
* Physical bullion markets in major Asian hubs saw a sharp
divide last week with some regions seeing a surge in demand,
while others grappled with strained supply and muted activity
amid global lockdowns. GOL/AS
* Three of the world's biggest gold refineries said they
would partially reopen after a two-week closure that disrupted
global supply of the metal. * Palladium XPD= fell 0.6% to $2,175.81 per ounce, while
platinum XPT= rose 2% to $734.82 and silver XAG= gained 0.4%
to $14.45.

DATA/EVENTS (GMT)
0600 Germany Industrial Orders MM Feb

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