- Gold extended its daily rally past $ 1,760 on Thursday.
- The yield on 10-year US Treasuries was down more than 4% on the day.
- The US Dollar Index falls into negative territory below 91.60.
After climbing to the $ 1,750 area earlier in the day, the XAU / USD pair entered a consolidation phase, but gained bullish momentum early in the American session. As of this writing, gold is trading at its highest since late February at $ 1,764, rising 1.6% on the day.
US Treasury Yields Turn South After US Data
The sharp drop seen in US Treasury yields appears to be fueling the rally in gold on Thursday. Currently, the benchmark yield on 10-year US Treasuries is losing 4.1% on the day to 1,572%. Consequently, the US dollar index records small daily losses at 91.58.
Hours earlier, data released by the US Census Bureau revealed that retail sales in March rose 9.8%. This figure exceeded market expectations of an increase of 5.9%. In addition, the US Department of Labor reported that initial jobless claims fell to the lowest level since March 2020 to 576,000 in the week ending April 10, compared with an analyst estimate of 700,000.
This upbeat data release triggered a rally in major Wall Street indices, which have been showing an inverse correlation with US Treasury yields.
No other US macro data will be released for the remainder of the day and investors will remain focused on US Treasury yields.
Technical levels
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