Gold is falling due to profit taking

US, WASHINGTON (ORDO NEWS) — Gold fell on Friday as investors sold the yellow metal to take profits, but was headed for its best weekly performance since December 2008, as a record rise in US jobless claims due to the Corona virus fueled hopes for more stimulus to curb the economic damage caused About the pandemic.

Meanwhile, the self-stimulating Platinum and Palladium are heading for the largest weekly gain ever, as the shutdown in South Africa, a large product, has fueled supply concerns.

And gold fell in the spot transactions 0.3 percent to 1624.41 dollars an ounce (ounce) by 0616 GMT, after five consecutive sessions of gains. And gold fell in US futures 0.5 percent to 1643.30 dollars an ounce.

The yellow metal has gained more than 8.4 percent since the beginning of this week, supported by weak US data and unprecedented economic stimulus measures taken by the Federal Reserve (the US central bank).

“I don’t see any real reason for selling gold right now besides the possibility of profit taking before the end of the week,” said Stephen Ines, chief market strategist at Axicorp Financial Services.

“Everything is still good for gold except for the terrifying need to sell in order to obtain liquidity,” he added.

Speaker of the US House of Representatives Nancy Pelosi said that she expects the House to pass a trillion-dollar bill to reduce the impact of the virus when it meets today, after the approval of the Senate on Wednesday.

Asian stocks rose as investors bet that policymakers will implement more stimulus measures to combat the epidemic after US jobless claims rose to a record low of 3.28 million last week.

Avtar Sandu, senior director of commodities at Philip Futures, said the data was supportive of gold as it fueled expectations for more fiscal measures, more quantitative easing and other moves on the part of the US central bank.

As for other precious metals, palladium rose 1.8 percent to 2373.08 dollars an ounce, after increasing more than 44 percent since the beginning of this week, while platinum rose 1.7 percent to 748.51 dollars an ounce and gained 22 percent this week.

Silver rose 1 percent to $ 14.54 an ounce and is heading towards achieving the best weekly performance since 2008.


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