Prices for gold recovered on Thursday from a side of more than 3% in the last session, after U.S. jobless claims unexpectedly topped one million again and the Federal Reserve minutes reiterated concerns over economic recovery.
Spot gold rose 0.6% to $1,940.14 U.S. per ounce. U.S. gold futures settled down 1.2% to $1,946.50.
Minutes from the U.S. central bank’s last policy meeting showed members were concerned the economy faced a highly uncertain path and more monetary support may be needed, although they downplayed the need for yield caps and targets.
An unexpected rise in U.S. jobless claims back above one million last week and weaker U.S. equities was also helping gold, analysts said. The dollar index at near one-week high, however capped gold’s gains, making the non-yielding bullion expensive for holders of other currencies.
Reports have seen central banks rolling out massive stimulus and cut interest rates to near zero to combat the economic toll from the new coronavirus crisis, prompting over 27% gains for the year in gold, considered a hedge against inflation and currency debasement.
Elsewhere, silver gained 1.2% to $27.04 U.S. per ounce, platinum dipped 2.2% to $911.40 U.S., and palladium rose 0.3% to $2,163.09 U.S.
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