The weakness of the US dollar to a one -month low has given impetus for gold -precious metal trading to rise higher.
In the Asian session, gold prices continued to rise near a 7 -week high, trading around $ 1,777 an ounce.
Despite registering a slight gain early in the session, the US dollar remained traded lower than its rivals, making gold cheaper for holders of other major currencies.
The benchmark 10 -year US treasury yield remained low at around 1.56%, down further from the previous high of 1.77%.
Physically, China has reportedly eased the ban on banks importing physical gold, according to Reuters.
The news showed an increase with about 150 tonnes of gold imports compared to the recent average of 10 tonnes and purchases of 75 tonnes a month in 2019. Also reported, the record of gold purchases by India almost hit 160 tonnes in March.
For the record, India and China are the largest consumers of gold in the world and indicators of increased purchases are bound to help the rise in gold prices, especially with the weakness of the US dollar.
