Gold gains for third day as bond yields, dollar retreat
US yields recovered on Wednesday, reducing the appeal of holding gold, while the dollar also bounced back
Spot gold rose 2.1% to $1,716.11 per ounce
This came on the back of a rally in domestic stocks and the greenback retreating from three-month highs in global markets
Dollar-denominated oil prices typically fall when the greenback strengthens since the commodity becomes more expensive for buyers paying in other currencies
The reserves increased for the second consecutive week
Risk aversion in the global markets weighed on the Rupee
The Rupee was weighed down by a rebound in the US dollar and muted domestic equities
Progress on the $1.9 trn U.S. stimulus bill has offered little respite, as higher yields have threatened gold's appeal as an inflation hedge by increasing the opportunity cost of holding bullion
In November 2020, it was net buyer of the US dollar after it had purchased USD 14.289 billion and sold USD 4.028 billion
Brent crude futures for April, which expire on Friday, fell 74 cents, or 1.1%, to $66.14 a barrel
Brent crude futures for April, which expire on Friday, fell 86 cents, or 1.3%, to $66.02 a barrel
NEW YORK (Reuters) - The dollar lost ground on Thursday, ending its first two-day winning streak in two weeks as disappointing labor market data tempered expectations for a speedy economic recovery from the global health crisis.
Stimulus cheques helped U.S. retail sales to rebound sharply in January, while industrial output and producer prices data also provided robust upside surprises
From about 3.5 per cent at the start of December to 6 per cent now, three-month forwards rates are most affected
Spot gold lost 0.5 per cent to $1,816.40 an ounce by 5:51 pm (IST) and US gold futures were down 0.6 per cent at $1,816.30
The country's foreign exchange reserves declined by a massive $6.24 billion in the week ended February 5
NEW YORK (Reuters) - The S&P 500 was down slightly in volatile trading while MSCI's gauge of stocks across the globe was barely higher on Wednesday, pausing after recent gains, while the dollar dropped to two-week lows.
Gold rose on Wednesday, hovering near a one-week peak hit in the previous session, as a weaker dollar and rising hopes of a US stimulus elevated bullion's appeal as a hedge against inflation
Spot gold fell 0.1% to $1,810.65 per ounce. U.S. gold futures eased 0.1% to $1,811.10