* Dollar eases off two-week peak
* Palladium slips from record highs
* BoE slows bond-buying, raises growth outlook (Adds comment, details and updates prices)
By Sethuraman N R
May 6 (Reuters) - Gold rose for a second straight session on Thursday after the dollar retreated, as investors awaited U.S. economic data to gauge the Federal Reserve's strategy on monetary support going forward.
"Market is pricing in a 'more distant' probability of a Fed rate hike after clarifications on Treasury Secretary Janet Yellen's remarks," said Quantitative Commodity Research Analyst Peter Fertig.
Yellen said on Tuesday she saw no inflation problem brewing, downplaying earlier comments that rate increases may be needed to stop the economy overheating. has been supportive for gold, with yields on long-term government bonds declining again and the dollar weakening," Fertig added.
Focus now shifts to Friday's U.S. monthly jobs report, which is expected to show non-farm payrolls increased by 978,000 last month. also largely held its course after the Bank of England said it would slow the pace of its bond-buying as it sharply increased its forecast for Britain's economic growth this year. However, the central bank stressed it was not tightening monetary policy. the technical front, a clear break above the $1,800 level would open space for further recoveries in gold, Carlo Alberto De Casa, chief analyst at ActivTrades said in a note.
Benchmark U.S. 10-year Treasury yields US10YT=RR were subdued below 1.6%, reducing the opportunity cost of holding non-interest bearing gold. US/
Meanwhile, palladium XPD= fell 1.2% to $2,938.46, after scaling an all-time high of $3,017.18 on Tuesday due to a supply shortage.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.