Global gold heads for third weekly gain
The rise in Dubai followed another strong session for the international gold market, with bullion trading around $4,530 an ounce and heading for a third consecutive weekly gain. Gold was on course to finish the week more than 3% higher.
The US Treasury’s unexpected increase in buybacks of long-dated government debt helped lift bullion after the move pushed Treasury yields and the dollar lower on Wednesday.
Treasury Secretary Scott Bessent said on Thursday that he was prepared to expand buybacks of costlier debt and indicated that the administration would soon unveil a fiscal initiative aimed at addressing the highest US borrowing costs in years.
Concerns surrounding rising US government debt have been one of the factors supporting gold during its multi-year rally, with investors turning to the metal as an alternative safe haven.
Gold has gained around 11% globally so far this month and has remained above $4,000 an ounce since mid-July. Despite the latest recovery, bullion remains around 15% below levels recorded before the US-Iran conflict began in late February.
– With inputs from Bloomberg.
Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series.
Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy.
An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question.
When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.