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Gold prices have risen sharply in the past few hours, to obtain support against falling Treasuries yields, despite favorable reports on retail sales and potrebdoveriyu USA.
Gold rose 0.5%, while the yield on 10-year Treasuries fell to 2.347% from 2.377% daily maximum.
Fall Treasuries yields, despite strong evidence, says the revision at a later date to improve the prediction rates. Thus, the precious metal, which is in inverse correlation with the yield increased.
Early reduction of gold was due to the strengthening of the dollar and good US statistics.
Sales at US retailers rebounded in October, as lower gasoline prices contributed to increased household spending in restaurants and shops.
The Commerce Department reported that seasonally adjusted retail sales rose in October by 0.3% compared with the previous month. Recall that in September sales fell 0.3%.
US consumers were the most optimistic about the prospects for the economy since before the beginning of the financial crisis. This is evidenced by the results published in Friday's survey of households conducted by the University of Michigan and Thomson-Reuters. Preliminary index of consumer sentiment University of Michigan / Thomson-Reuters in November jumped to 89.4 vs. 86.9 in October the final value. The November index value is the highest since July 2007.
The dollar rose to a seven-year peak against the yen and close to four-year high against a basket of six major currencies.
"Gold reacts to fluctuations in the USD / JPY. The peak value of the dollar against the yen remains one of the most important factors for two weeks," - said a trader in Singapore.
Japanese market participants are selling gold bullion and jewelery, as the price in yen jumped to a three-month high.
The world's largest reserves of the gold-traded exchange-traded fund SPDR Gold Trust on Thursday fell 0.3 percent to 720.62 tons of six-year low.
The cost of December gold futures on the COMEX today rose to 1179.70 dollars per ounce.
Foreign exchange market. American session: the U.S. dollar traded mixed to lower against the most major currencies despite the better-than-expected U.S. retail sales and Reuters/Michigan consumer sentiment index
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