* Spot gold up 0.5% for the week
* Interactive graphic tracking global spread of coronavirus:
(Adds comments, updates prices)
By Eileen Soreng
Sept 17 (Reuters) – Gold prices rose on Friday as gloomy
U.S. jobs data cast a shadow over the economic outlook, and
major central banks pledged to roll out further stimulus if
required to revive their coronavirus-battered economies.
Spot gold climbed 0.5% to $1,951.32 per ounce by 0348
GMT, having fallen to a one-week low in the previous session. It
has gained 0.5% so far this week.
U.S. gold futures were 0.5% higher at $1,959.
“Virus concerns are still weighing down on economic recovery
and when you look at a lot of economic data it looks like it’s
moderating but there is still tremendous damage,” said Edward
Moya, a senior market analyst at broker OANDA. “There’s still
going to be need for more support.”
The weekly jobless claims report from the U.S. Labor
Department showed nearly 30 million people were on unemployment
benefits at the end of August, laying bare the continuing
economic and human devastation from the COVID-19 pandemic.
The Federal Reserve on Wednesday vowed to keep interest
rates near zero for a long time, noting that the pandemic “will
continue to weigh on economic activity” in the near term.
On Thursday, the Bank of England said it was considering
negative interest rates amid rising COVID-19 cases, higher
unemployment and a possible new Brexit shock, while the Bank of
Japan signalled readiness to ramp up stimulus.
“Underlying factors remain supportive for gold, as we expect
the U.S. dollar to weaken while bond yields will remain low as
central banks keep monetary policies accommodative,” Fitch
Solutions said in a note.
Near-zero interest rates globally and demand for a hedge
against perceived inflation have helped gold gain nearly 29% so
far this year.
The dollar index steadied after falling overnight.
Among other precious metals, silver eased 0.2% to
$27.03 per ounce. Platinum inched 0.1% lower to $939.79
per ounce, while palladium was steady at $2,336.12.
Keywords: GLOBAL PRECIOUS/ (UPDATE 1)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.