PRECIOUS-Gold gains as dollar eases off four-week high - Reuters

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    * Yields will be key consideration for gold traders -
strategist
    * Joe Biden to be inaugurated on Wednesday
    * Interactive graphic tracking global spread of coronavirus:
tmsnrt.rs/3mvcUoa

 (Adds comment, details and updates prices)
    By Sumita Layek
    Jan 19 (Reuters) - Gold prices rose on Tuesday, off a
1-1/2-month low hit in the previous session, as the dollar
slipped and hopes for further global stimulus underpinned the
safe-haven metal.
    Spot gold        rose 0.2% to $1,840.81 per ounce by 0226
GMT, recovering from its lowest since Dec. 2 at $1,809.90 hit on
Monday. U.S. gold futures        gained 0.5% to $1,839.40.
    "The key factor appears to be the (U.S.) currency. The
movements in the U.S. dollar have been the best predictor of
gold market moves in recent days," said Michael McCarthy, chief
market strategist at CMC Markets.
    Making gold attractive for other currency holders, the 
dollar        fell from a four-week high hit in the previous
session.       
    Benchmark 10-year Treasury yields             were
range-bound, but held above 1%. Higher bond yields increase the
opportunity cost of holding the non-interest yielding gold.
     
    "Bond markets are clearly sitting on a change in conditions,
and we might have seen the lows for interest rates for this
cycle ... that will be the key consideration for gold traders
this year," McCarthy said.
    The next round of fiscal stimulus in the United States was
also in focus with President-elect Joe Biden's $1.9 trillion
stimulus package proposal to jump-start the virus-stricken
economy. Biden is set to be inaugurated on Wednesday.
                        
    Euro zone finance ministers also pledged continued fiscal
support for their economies and discussed the design of
post-pandemic recovery plans.            
    Gold is considered a hedge against inflation and currency
debasement, likely to result from large stimulus measures.
    Global coronavirus cases stood near 95 million with several
countries still under tight restrictions and a tepid pace of
vaccinations.                         
    Among other precious metals, silver        fell 0.5% to
$25.21 an ounce. Platinum        rose 1.5% to $1,095.74, while
palladium        climbed 0.2% to $2,376.93.

 (Reporting by Sumita Layek in Bengaluru; Editing by Subhranshu
Sahu)
  

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