Gold Gains for Third Day on Weaker Dollar, U.S. Stimulus View
- House Democrats issue draft of legislation for relief package
- Metal approaches 200-day moving average; speculators may pause
This article is for subscribers only.
Gold climbed to a one-week high as the dollar and real U.S. Treasury yields declined, with investors weighing prospects for a fast-tracked stimulus package in the U.S.
The metal climbed for the third straight day, the longest rally since Jan. 5, after Democrats released the first draft of key legislation that will comprise President Joe Biden’s Covid-19 relief bill. Bets on a robust package of support are helping to underpin market-derived inflation expectations, which are at multiyear highs, and have fanned the so-called reflation trade. Gold pared some gains as the price approached a key resistance level.