PRECIOUS-Firm dollar keeps gold subdued, investors await more U.S. data

Reuters

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    June 24 (Reuters) - Gold prices edged lower on Thursday as a
stronger dollar dented the metal's appeal, while investors
awaited more U.S. economic data due this week to gauge
inflationary pressures.
       
    FUNDAMENTALS
    * Spot gold  XAU=  was down 0.1% to $1,777.26 per ounce by
0116 GMT. 
    * U.S. gold futures  GCv1  eased 0.2% to $1,779.50 per
ounce.
    * The dollar index  .DXY  held firm below an 11-week high
against its rivals, making gold more expensive for holders of
other currencies.  USD/ 
    * A period of high inflation in the United States may last
longer than anticipated, two U.S. Federal Reserve officials
said, prompting one to pull forward his views on when the
central bank should start raising interest rates.  urn:newsml:reuters.com:*:nL2N2O5161
    * Gold is often seen as a hedge against inflation, though a
rate hike by the Fed will increase the opportunity cost of
holding bullion and dull its appeal.
    * Data on Wednesday showed sales of new U.S. single-family
homes fell to a one-year low in May as the median price of newly
built houses soared amid expensive raw materials, including
framing lumber.  urn:newsml:reuters.com:*:nL2N2O51JE
    * Investor focus has now shifted to U.S. producer price
inflation data on Friday, apart from jobless claims on Thursday
and consumer spending on Friday.
    * Euro zone business growth accelerated at its fastest pace
in 15 years this month as the easing of more lockdown measures
drove a boom in the bloc's dominant services industry, a survey
showed.  urn:newsml:reuters.com:*:nZRN0029TE
    * SPDR Gold Trust  GLD , the world's largest gold-backed
exchange-traded fund, said its holdings fell 0.3% to 1,046.65
tonnes on Wednesday.  GOL/ETF 
    * Silver  XAG=  was steady at $25.87 per ounce, palladium
 XPD=  eased 0.1% to $2,614.04. Platinum  XPT=  climbed 0.5% to
$1,089.
    
DATA/EVENTS (GMT)
1100  UK       BOE Bank Rate              June
1100  UK       GB BOE QE Corp             June
1230  US       Durable Goods              May
1230  US       GDP Final                  Q1
1230  US       Initial Jobless Claim      Weekly

 (Reporting by Brijesh Patel in Bengaluru; Editing by Subhranshu
Sahu)
 ((Brijesh.Patel1@thomsonreuters.com; Within U.S. +1 651 848
5832, Outside U.S. +91 8067493865; Reuters Messaging:
Brijesh.Patel1.thomsonreuters.com@reuters.net))

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