Title: Gold Up, Set for Second Weekly Gain as Dollar Falls from 20-Year High

M

ay 26, 2022 11:33PM ET

By: AnalysisWatch

Gold rose in Asia on Friday morning, heading for its second weekly gain after the dollar fell from 20-year highs.

At 11:30 a.m., gold futures were up 0.28% at $1,852.70, up 0.2% for the week.

The dollar, which usually moves inversely to gold, fell on Friday, continuing its decline from the previous session, and was set for another consecutive weekly decline.

Gold fell on Thursday as the U.S. Federal Reserve's aggressive monetary tightening plan reduced gold's appeal and a rally in equity markets put pressure on gold.

The minutes of the Fed's latest meeting, released earlier in the week, showed that the Fed is likely to favor another 50 basis point rate hike at its June and July 2022 meetings.

U.S. Treasury bond yields were low, with the benchmark 10-year bond reaching a new six-week high.

Inflation concerns continue to ease, although data and corporate announcements point to slower economic growth.

Among other precious metals, silver fell 0.2% and rose 0.9% for the week. Platinum was almost unchanged at $950.28, down 0.5% on the week. Palladium was down 0.2% with a weekly gain of about 2.2%, the largest increase since early April 2022.