Dollar dip, U.S.-China tensions push gold to a new 1-month peak

8.5.22 - U.S.-China Tensions Push Gold to 1-Month Peak

Gold last traded at $1,774 an ounce. Silver at $19.89 an ounce.

NEWS SUMMARY: Precious metal prices fell back Friday as better-than-expected jobs data boosted the dollar. U.S. stocks fell as investors feared upbeat jobs data may force the Fed to more aggressively boost interest rates.

CNBC--"Gold prices climbed over 1% to hit a fresh one-month peak on Thursday underpinned by a retreat in the dollar and U.S. Treasury yields, and as investors kept a close tab on U.S.-China tensions....

'As of late, yields are coming down slightly, that has been along with the dollar's recent weakness one of the key benefits to gold,' said David Meger, director of metals trading at High Ridge Futures.

The dollar's retreat bolstered gold’s appeal among overseas buyers, while benchmark U.S. Treasury yields also slipped, reducing the opportunity cost of holding non-yielding bullion.

'We've seen some rising tensions between the U.S. and China, so one additional reason why gold has been well supported coming into the morning,' Meger added."