WASHINGTON (dpa-AFX) - Gold prices fell over 1 percent on Friday as firmer U.S. bond yields and a strong dollar dented appeal for the non-yielding metal.
Spot gold fell 1.2 percent to $1,701.57 per ounce while U.S. gold futures were down 1.3 percent at $1,699.25.
The U.S. dollar spiked up against its key counterparts as U.S. Treasury yields rose after the release of better-than-expected jobless claims data.
U.S. bond yields firmed up, with the benchmark 10-year Treasury yields hitting 1.6 percent once again after President Joe Biden's signing of a Coivd-19 relief package into law.
Biden signed the $1.9 trillion stimulus package on Thursday afternoon, marking a major legislative victory since assuming office in January.
The plan provides direct payments of up to $1,400, extends $300 per week jobless benefits and grant funds for vaccine distribution.
In his signing ceremony, Biden pledged aggressive action to speed vaccinations and move the country closer to normality by July 4.
The U.S. producer price index and University of Michigan's preliminary consumer sentiment index are due later in the day.
Investors also await the U.S. Federal Reserve meeting next week for direction on its monetary policy.
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