Gold heads for third straight weekly gain as dollar weakens on US Treasury buybacks

Gold prices advanced on Friday, August 21, on track to notch a third consecutive weekly gain as a softening US dollar and Treasury market interventions bolstered demand for bullion. 

Spot gold climbed 0.4% to $4,537.41 per troy ounce, bringing its weekly advance to approximately 3.6% and trading near its highest levels since early June. US gold futures rose 0.5% to $4,593.90 per ounce. 

A weakening greenback improved gold's appeal for non-dollar buyers, while sentiment received a tailwind from the US Treasury's expanded buyback operations for long-dated government bonds. On the monetary policy front, markets are pricing in an estimated 63% probability that the Federal Reserve will hold interest rates steady at its upcoming meeting, according to Reuters data. Other precious metals also moved toward weekly gains, with spot silver rising 1.3%, platinum advancing 2%, and palladium gaining 0.8%. 

N.Tebrizli

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