Gold prices firmed on Monday, as some
Western nations’ plans to ban imports of the metal from Russia
for its invasion of Ukraine, signaled potentially tighter
supplies of bullion.
* Spot gold was up 0.2% at $1,828.99 per ounce by
0102 GMT. U.S. gold futures were flat at $1,830.90.
* Four of the Group of Seven (G7) rich nations moved to ban
imports of Russian gold on Sunday to tighten the sanctions
squeeze on Moscow and cut off its means of financing the
invasion of Ukraine.
* But it was not clear whether there was G7 consensus on the
plan, with European Council President Charles Michel saying the
issue would need to be handled carefully and discussed
* Elsewhere, a pair of U.S. central bankers said on Friday
they supported further sharp interest rate hikes to stem rapid
price rises, even as investors cheered economic data showing
inflation expectations to be less worrisome than initially
* Gold is seen as a hedge against inflation, but higher
interest rates raise the opportunity cost of holding bullion,
which yields no interest.
* The International Monetary Fund slashed its U.S. economic
growth forecast on Friday, as aggressive Federal Reserve
interest rate hikes cool demand but predicted that the United
States would “narrowly” avoid a recession.
* Gold prices fell last week as looming interest rate hikes
weighed, despite seeing some gains on Friday as the dollar
retreated and recession fears buoyed its safe-haven appeal.
* SPDR Gold Trust , the world’s largest gold-backed
exchange-traded fund, said its holdings fell 0.2% to 1,061.04
tonnes on Friday from 1,063.07 tonnes a day earlier.
* Spot silver rose 0.2% to $21.15 per ounce, platinum
gained 0.2% to $908.99, and palladium was up 0.2%
1230 US Durable Goods May
(Reporting by Bharat Govind Gautam in Bengaluru; Editing by