2021.03.3010:37:00UTC+00Gold Hits Three-week Low As Recovery Hopes Dent Appeal

Gold prices fell about 1 percent on Tuesday to hover near a three-week low as hopes for a swift global economic recovery boosted equities and dented demand for the precious metal.

Spot gold fell almost 1 percent to $1,696.32 per ounce while U.S. gold futures were down 1.1 percent at $ 1,695.90.

Germany's benchmark 10-year bond yield rose to its highest level in over a week, pushed higher again by rising U.S. Treasury yields in the wake of stimulus and vaccination progress.

U.S. President Joe Biden is set to outline his infrastructure spending plan on Wednesday in Pittsburgh.

The economic package worth about $3 billion will be split into two parts, with the first one focused primarily on transportation and other infrastructure.

The U.S. jobs data due Friday is expected to signal that the labor market recovery remains on track.

The dollar rose for a second day amid expectations that Biden's infrastructure initiative could further bolster growth in the world's largest economy.