19.11.202109:53:00UTC+00Gold Steadies Amid Inflation Woes

Gold ticked higher on Friday as rising inflation and falling Treasury yields buoyed its safe-haven appeal.

Spot gold inched up 0.1 percent to $1,860.98 per ounce, while U.S. gold futures were up 0.1 percent at $1,863.10.

New York Fed President John Williams said on Thursday that the economy is experiencing a broader based increase in inflation and jump in inflation expectations, adding that officials are not willing to allow long-run inflation expectations to move up significantly higher.

The economy is "roaring" back, with huge gains in employment and a sharp drop in unemployment after the pandemic.

Although the rise in short-run and long-run inflation expectations are positive factors, the central bank would not tolerate long-run inflation expectations to accelerate significantly higher, he added.

Yields on both the benchmark 10-year Treasury note and the 30-year Treasury bond fell slightly today as investors kept an eye on who will be named Federal Reserve chair. Rising coronavirus cases in Europe also dented sentiment in financial markets.

Austria has announced a full national lockdown from Monday amid a fourth wave sweeping the continent.

German Chancellor Angela Merkel on Thursday announced limits on public life for the unvaccinated, saying the move is necessary to tackle a "very worrying" fourth wave of the pandemic.