Gold, silver climb as US yields fall on softer retail sales
Wednesday brought a notable increase in gold and silver prices, coinciding with falling U.S. Treasury bond yields. The retail sales figures for December revealed a slowdown, suggesting economic softness. As investors gear up for key job reports, t...
By Reuters | Updated:
Gold and silver prices rose on Wednesday as U.S. Treasury bond yields fell after data showed December retail sales growth stalled, signalling a softening economy ahead of key jobs data.
FUNDAMENTALS
Spot gold edged 0.3% higher to $5,038.73 per ounce by 0059 GMT.
U.S. gold futures for April delivery gained 0.6% to $5,060.60 per ounce.
Spot silver was up 1% at $81.49/oz, after falling more than 3% in the previous session.
U.S. yields fell on Tuesday after a raft of data suggested the economy may be softening, giving the U.S. Federal Reserve more cushion to cut interest rates. [US/]
Falling yields reduce the cost of holding metals and often come with macro signals that favour them.
U.S. retail sales were unexpectedly unchanged in December as households scaled back spending on motor vehicles and other big-ticket items, potentially setting consumer spending and the economy on a slower growth path heading into the new year.
Federal Reserve Bank of Cleveland President Beth Hammack, however, said on Tuesday that the U.S. central bank faces no urgency to change the setting of interest rates this year amid a "cautiously optimistic" outlook for economic activity.
Investors expect at least two 25-basis-point rate cuts in 2026, with the first one expected in June. Non-yielding bullion tends to do well in low-interest-rate environments. [FEDWATCH]
Investors await the non-farm payrolls report for January, due later in the day, and inflation data on Friday for more cues on the Fed's monetary policy path.
MCX Gold, Silver Rate Today Live Updates: Spot gold and silver prices climb as US yields fall
Indian investors piled into gold exchange-traded funds in January as prices soared amid rising geopolitical risks, surpassing flows into equity funds for the first time, industry data showed on Tuesday.
Spot platinum added 0.6% to $2,098.78 per ounce, while palladium rose 0.2% to $1,712.25.
DATA/EVENTS (GMT)
0130 China PPI, CPI YY January
1330 US Non-Farm Payrolls January
1330 US Unemployment Rate January
1330 US Average Earnings YY January
FUNDAMENTALS
Spot gold edged 0.3% higher to $5,038.73 per ounce by 0059 GMT.
U.S. gold futures for April delivery gained 0.6% to $5,060.60 per ounce.
Spot silver was up 1% at $81.49/oz, after falling more than 3% in the previous session.
U.S. yields fell on Tuesday after a raft of data suggested the economy may be softening, giving the U.S. Federal Reserve more cushion to cut interest rates. [US/]
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Falling yields reduce the cost of holding metals and often come with macro signals that favour them.
U.S. retail sales were unexpectedly unchanged in December as households scaled back spending on motor vehicles and other big-ticket items, potentially setting consumer spending and the economy on a slower growth path heading into the new year.
Federal Reserve Bank of Cleveland President Beth Hammack, however, said on Tuesday that the U.S. central bank faces no urgency to change the setting of interest rates this year amid a "cautiously optimistic" outlook for economic activity.
Investors expect at least two 25-basis-point rate cuts in 2026, with the first one expected in June. Non-yielding bullion tends to do well in low-interest-rate environments. [FEDWATCH]
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Investors await the non-farm payrolls report for January, due later in the day, and inflation data on Friday for more cues on the Fed's monetary policy path.
MCX Gold, Silver Rate Today Live Updates: Spot gold and silver prices climb as US yields fall
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Indian investors piled into gold exchange-traded funds in January as prices soared amid rising geopolitical risks, surpassing flows into equity funds for the first time, industry data showed on Tuesday.
Spot platinum added 0.6% to $2,098.78 per ounce, while palladium rose 0.2% to $1,712.25.
DATA/EVENTS (GMT)
0130 China PPI, CPI YY January
1330 US Non-Farm Payrolls January
1330 US Unemployment Rate January
1330 US Average Earnings YY January
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