Gold heads for fourth straight weekly gain

Gold prices fell on Friday, on correction and profit-taking from a 4-week high, on track for the fourth straight weekly gain, ahead of the second part of the US Federal Reserve Chairman's semi-annual testimony before the Congress.

Gold prices fell 0.5% to $1,820.95 an ounce, after opening at $1,829.69, and hit a high at $1,832.09.

Gold closed higher by 0.1% yesterday, and posted its second straight daily gain, after hit a 4-week high at $1,834.14 an ounce, thanks to a drop in the US bond yields.

Gold prices gained 0.7% so far this week, on track for the fourth straight weekly gain, after the Federal Reserve Chairman Jerome Powell's semi-annual testimony before Congress.

Federal Reserve Chairman Jerome Powell stated before the House Financial Services Committee that the recent surge in inflation is temporary, as consumer prices rose due to the US economy reopening, and stressed the Fed's commitment to its current dovish monetary policy.

These statements lowered the odds for the Federal Reserve to start reducing the bond-buying program as an essential step before an interest rate hike.

Gold stocks at the SPDR ETF remained unchanged yesterday, with the total at the lowest level since May 20 at 1,034.37 metric tonnes.