13 May 2022
Gold Heads for Worst Week Drop since Mid-March with Dollar Favored
The Index Today
Gold headed for the biggest weekly fall in almost two months as investors favored the dollar as a store of value amid accelerating inflation and expectations for aggressive monetary tightening.
Gold rose 0.2% to $1,824.79 an ounce as of 9:34 a.m. in Singapore, and is down 3.1% for the week. The Bloomberg Dollar Spot Index dipped 0.1%, paring its weekly gain to 0.9%. Silver, platinum and palladium all climbed after dropping at least 4% on Thursday.
According to the recent available data, Bullion was steady Friday after falling 1.7% in the previous session as US producer prices rose more than expected in April, reinforcing expectations the Federal Reserve will maintain its path of rapid interest-rate rises to slow an overheating economy. The dollar strengthened and Treasuries yields fell due to a lower appetite for risk following the print.