Investing.com – Gold prices slipped on Friday in Asia amid rising U.S. treasury yields and a stronger dollar.
for June delivery on the Comex division of the New York Mercantile Exchange was down $1.3, or 0.1%, to $1,288.0 a troy ounce by 12:10AM ET (04:10 GMT).
Meanwhile, the dollar hovered near five-month highs well above the 93 level, after climbing to this year’s fresh high at 93.46 overnight.
The that tracks the greenback against a basket of six major currencies last stood at 93.38.
The rising was cited as tailwind for the dollar. The yield further rose to 3.122%, up 0.43% on Friday morning – the highest level since 2011. Higher yields triggered a spike in demand for the greenback.
Dollar-denominated assets such as gold are sensitive to moves in the dollar – a gain in the dollar makes gold more expensive for holders of foreign currency and thus decreases demand for the precious metal, while higher U.S. yields dampen the appeal of non-yielding bullion.
In other precious metal trade, fell 0.3% to $16.425 a troy ounce, and slipped 0.1% to $889.90 an ounce.
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Source: Investing.com
