May 25 (Reuters) - Gold prices edged lower on Tuesday as
hopes of quick economic recovery lifted demand for riskier
assets, although a weaker dollar and lower U.S. Treasury yields
limited losses for the safe-haven metal.
FUNDAMENTALS
* Spot gold was down 0.2% at $1,877.26 per ounce by
0106 GMT.
* U.S. gold futures fell 0.3% to $1,879 per ounce.
* The dollar languished near four-month lows against major
currencies, making gold cheaper for other currency holders.
* U.S. Treasury long-dated yields fell to two-week lows
after a few Federal Reserve officials affirmed their support to
keep monetary policy accommodative for some time.
* St. Louis Fed President James Bullard said he expects the
inflation rate to be above 2% both this year and the next but
several Fed officials, including Bullard, continued to support
the central bank's policy in separate remarks.
* Some investors view gold as a hedge against higher
inflation.
* Sentiment in wider financial markets remained upbeat.
* Global real gross domestic product is projected to surge
5.7% in 2021, its strongest advance since 1973, while the U.S.
economy will likely expand 6.7% this year, according to the
latest economic forecasts for IHS Markit.
* Singapore's economy expanded more than initially estimated
in the first quarter, helped by stronger-than-expected
manufacturing, official data showed on Tuesday.
* SPDR Gold Trust , the world's largest gold-backed
exchange-traded fund, said its holdings rose 0.3% to 1046.12
tonnes on Monday from 1042.92 tonnes on Friday.
* Palladium rose 0.5% to $2,741.24 per ounce, silver
fell 0.6% at $27.64 and platinum slipped 0.2% to
$1,171.54.
DATA/EVENTS (GMT)
0600 Germany GDP Detailed QQ, YY SA, NSA Q1
1400 US Consumer Confidence May
1400 US New Home Sales-Units April
(Reporting by Brijesh Patel in Bengaluru; Editing by
Ramakrishnan M.)
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