22.10.202110:45:00UTC+00Gold Extends Gains On Softer Dollar

Gold prices rose for a fourth straight session on Friday and headed for a weekly gain, propped by a softer dollar and global inflation concerns.

Spot gold climbed 0.6 percent to $1,793.90 and was up 1.4 percent so far this week. U.S. gold futures were up 0.7 percent at $1,794.85.

The dollar weakened and was on track for a second week of decline amid easing concerns over Chinese property market.

China Evergrande Group reportedly supplied funds to pay interest on a U.S. dollar bond, helping ease contagion fears.

A pick-up in inflation expectations also supported gold, which is often considered an inflation hedge.

Euro zone inflation expectations among bond investors hit their highest levels in years, putting additional pressure on the European Central Bank and its insistence on maintaining crisis-era stimulus.

Elsewhere, Atlanta U.S Federal Reserve President Raphael Bostic said he expects high inflation to persist into 2022 and the central bank should raise interest rates by the end of next year.

Fed Chair Jerome Powell speaks later today in a panel discussion, with traders awaiting more clarity on the Fed's policy plans.