FUNDAMENTALS
* Spot gold was down 0.2% at $1,942.93 per ounce, as of 0140 GMT, after hitting a more than one-week high of $1,949.32 earlier in the day. U.S. gold futures were up 0.2% at $1,949.00.
* The U.S. dollar index was steady after topping 100 for the first time in nearly two years on Friday on bets of aggressive Fed measures to contain soaring inflation.
* A stronger dollar makes gold less attractive for other currency holders.
* The 10-year U.S. yield hit 2.73% on Friday, its highest since March 2019, as traders bet on a more hawkish Fed stance.
* Higher U.S. interest rates and yields increase the opportunity cost of holding bullion, which is also used as a hedge against rising inflation.
* Russian forces pounded targets in eastern Ukraine with missiles and artillery on Sunday, as Austria’s leader planned to meet with Russian President Vladimir Putin.
* Discounts on physical gold in India widened as scrap supplies increased amid only a slight improvement in demand, while purchases in top consumer China were steady despite COVID-19 lockdowns as buyers sought safe-haven assets.
* Spot silver was flat at $24.75 per ounce and platinum rose 0.7% to $981.41.
* Palladium was up 2.8% at $2,494.48 after hitting a more than two-week high earlier in the session.
* The auto-catalyst metal gained 8.6% on Friday after newly refined Russian platinum and palladium were suspended from trading in London, denying access to the metals’ biggest trade hub.
DATA/EVENTS (GMT)
0600 UK Manufacturing Output MM Feb
0600 UK GDP Estimate Feb