Gold rose on Wednesday to a one-week high as the dollar weakened on US Treasury secretary nominee Janet Yellen’s call to “act big” on measures to help the American economy recover from the impact of the pandemic. Brent Crude, too, jumped and traded above $56 a barrel.
Spot gold gained 1.18 per cent to $1,862.10 per ounce by 8.20 pm IST, having risen 1 per cent to a near one-week high earlier. In Delhi, gold gained for the third day, rising Rs 347 to Rs 48,758 per 10 gram.
“Gold looks fairly positive after all that talk about stimulus yesterday from Yellen weakened the dollar,” said Michael Hewson, chief market analyst at CMC Markets UK, adding that President Biden’s inauguration would provide more details about fiscal policy.
“If US bond yields start to slip back then gold will regain