<p>Gold rose on Monday and was heading for its best monthly jump since July 2020, boosted by a weaker US dollar and lower bond yields, while growing inflationary pressure lifted demand for the safe-haven metal as a hedge.</p>.<p>Spot gold was up 0.4 per cent at $1,909.81 per ounce by 0311 GMT, while US gold futures gained 0.4 per cent to $1,913. Bullion has risen nearly 8 per cent so far this month.</p>.<p>"Gold is pretty much drawing its strength from inflation fears and some inclination of the yields," said Stephen Innes, managing partner at SPI Asset Management.</p>.<p>"The dollar is staying weaker that's fairly supportive. Gold bulls now have their eyes set on $2,000 and most of the guys are thinking it's going to go quite higher."</p>.<p>The dollar index eased 0.1 per cent against its rivals, while the US 10-year Treasury yield fell to 1.593 per cent on Friday , reducing the opportunity cost of holding non-interest bearing gold.</p>.<p>Data on Friday showed US consumer prices surged in April, with a measure of underlying inflation blowing past the Federal Reserve's 2 per cent target and posting its largest annual gain since 1992.</p>.<p>Gold, often used as a hedge against inflation, has benefited from recent data showing a rise in prices in the United States and the UK.</p>.<p>Investors' focus this week will be on US payrolls data due on Friday with median forecasts at 650,000.</p>.<p>"On the technical front, a trade above the $1,915.60 would, however, signal a resumption on the $1,950 target... and there is strong support at the $1,875 and $1,850 levels," Avtar Sandu, senior commodities manager at Phillip Futures, said in a note.</p>.<p>Palladium rose 0.5 per cent to $2,839.72 per ounce, but it was set for its first monthly decline in four. Platinum climbed 0.9 per cent to $1,187.50.</p>.<p>Silver jumped 0.7 per cent to $28.07 and was heading for its best monthly gain since December. </p>
<p>Gold rose on Monday and was heading for its best monthly jump since July 2020, boosted by a weaker US dollar and lower bond yields, while growing inflationary pressure lifted demand for the safe-haven metal as a hedge.</p>.<p>Spot gold was up 0.4 per cent at $1,909.81 per ounce by 0311 GMT, while US gold futures gained 0.4 per cent to $1,913. Bullion has risen nearly 8 per cent so far this month.</p>.<p>"Gold is pretty much drawing its strength from inflation fears and some inclination of the yields," said Stephen Innes, managing partner at SPI Asset Management.</p>.<p>"The dollar is staying weaker that's fairly supportive. Gold bulls now have their eyes set on $2,000 and most of the guys are thinking it's going to go quite higher."</p>.<p>The dollar index eased 0.1 per cent against its rivals, while the US 10-year Treasury yield fell to 1.593 per cent on Friday , reducing the opportunity cost of holding non-interest bearing gold.</p>.<p>Data on Friday showed US consumer prices surged in April, with a measure of underlying inflation blowing past the Federal Reserve's 2 per cent target and posting its largest annual gain since 1992.</p>.<p>Gold, often used as a hedge against inflation, has benefited from recent data showing a rise in prices in the United States and the UK.</p>.<p>Investors' focus this week will be on US payrolls data due on Friday with median forecasts at 650,000.</p>.<p>"On the technical front, a trade above the $1,915.60 would, however, signal a resumption on the $1,950 target... and there is strong support at the $1,875 and $1,850 levels," Avtar Sandu, senior commodities manager at Phillip Futures, said in a note.</p>.<p>Palladium rose 0.5 per cent to $2,839.72 per ounce, but it was set for its first monthly decline in four. Platinum climbed 0.9 per cent to $1,187.50.</p>.<p>Silver jumped 0.7 per cent to $28.07 and was heading for its best monthly gain since December. </p>