Gold bounces 1% as dollar hastens retreat

6.17.22 - The Bear Is Here

Gold last traded at $1,839 an ounce. Silver at $21.66 an ounce.

News Summary: Precious metal prices remain stable Friday as traders take a step back to assess the latest major central bank developments. U.S. stocks volatile as S&P 500 heads for worst week since the start of the pandemic.

CNBC--"Gold rose 1% in volatile trade on Thursday as the dollar pulled back sharply on the U.S. central bank's aggressive policy outlook, bringing some of the safe-haven lure back to the metal....

Bolstering gold's appeal among overseas buyers, the dollar fell 1.6% to retreat from recent two-decade highs.

'Gold is now starting to look pretty attractive as the bet on the U.S. economy is dwindling,' said Edward Moya, senior analyst with OANDA.

'As the dollar rally has hit a peak and investors are right now looking for safe havens, the gold trade looks pretty attractive,' Moya added.

While gold has recently moved in tandem with stock and bond markets, rather than gaining from pure safe-haven flows, its rise on Thursday came despite a steep selloff on Wall Street that was driven by worries over recession."