PRECIOUS-Gold ticks lower as lofty dollar dulls appea
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Gold edged lower on Monday, as the dollar steadied near a 20-year peak, continuing to weigh on demand for greenback-priced bullion.
FUNDAMENTALS
* Spot gold was down 0.1% to $1,740.16 per ounce at 0045 GMT. U.S. gold futures dipped 0.2% to $1,739.50.
* The dollar held near its highest level in about 20 years, keeping overseas buyers away from gold. [USD/]
* Gold fell for a fourth straight week on Friday, hurt by the dollar's ascent and bets for steep interest rate hikes gaining traction after healthy U.S. jobs data.
* Atlanta Federal Reserve Bank President Raphael Bostic, until recently among the central bank's most dovish policymakers, on Friday said he "fully" supports another three quarters of a percentage point interest rate rise at the Fed's next policy meeting later this month.
* Benchmark U.S. 10-year Treasury yields steadied near an over one-week high hit on Friday, weighing on gold.[US/]
* After a miserable first half for the stock market, investors are assessing whether the U.S. economy can avoid a significant downturn as the Fed raises rates to fight the worst
inflation in decades. [nL1N2YO1KA]
* Gold is seen as a hedge against inflation, and a safe-haven asset during economic crises, like a recession.
However, higher interest rates and bond yields increase the opportunity cost of holding non-yielding bullion.
* SPDR Gold Trust , the world's largest gold-backed exchange-traded fund, said its holdings fell 0.11% to 1023.27 tonnes on Friday from 1024.43 tonnes on Thursday. [GOL/ETF]
* Asian shares started cautiously on Monday as investors braced for a U.S. inflation report that could force another super-sized hike in interest rates. [MKTS/GLOB]
* Spot silver fell 0.2% to $19.27 per ounce, and platinum slipped 1% to $887.89.
* Palladium dipped 1.3% to $2,153.50, after rising nearly 10% on Friday.
