Gold Futures Fall Sharply, Extend Losses To 4th Straight Session


Gold futures drifted lower on Friday, extending losses to a fourth straight session, weighed down by rising U.S. Treasury yields.

The yield on 10-year Treasury note dropped a bit today after hitting a 52-week high on Thursday, it still remained a major factor that contributed to the waning demand for the safe-haven metal.

Stronger-than-expected U.S. economic data released overnight also added to the fears that the Fed could withdraw stimulus sooner than anticipated.

Meanwhile, there is speculation that U.S. President Joe Biden’s fiscal spending package will not be as large as the proposed $1.9 trillion.

The dollar’s sharp uptick too weighed on gold prices. The dollar index rose to 90.92, gaining more than 0.8%. It was last seen hovering around 90.80, up 0.74% from Thursday’s close.

Gold futures for April ended down $46.60 or about 2.6% at $1,728.80 an ounce, the lowest close in about eight months. Gold futures shed more than 6.5% in February.

Silver futures for May ended lower by $1.245 at $26.440 an ounce, while Copper futures for May settled at $4.0925 per pound, down $0.1710 from previous close.

The Commerce Department said personal income spiked by 10% in January after rising by 0.6 percent in December. Economists had expected personal income to soar by 9.5%.

The report also showed a significant rebound in personal spending, which surged up by 2.4% in January after falling by a revised 0.4% in December.

MNI Indicators released a report on Friday showing a bigger than expected slowdown in the pace of growth in Chicago-area business activity in the month of February.

The report said MNI Indicators’ Chicago business barometer dropped to 59.5 in February after jumping to a more than two-year high of 63.8 in January.

The material has been provided by InstaForex Company –


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