Silver Spot – PRECIOUS-Gold flat as dollar advances on rising Europe virus woes

    March 25 (Reuters) - Gold prices were steady on Thursday as
support from easing U.S. Treasury yields was offset by a strong
dollar, which emerged as a preferred safe-haven amid growing
concerns about extended lockdowns in Europe. 

    
    FUNDAMENTALS
    * Spot gold        was little changed at $1,734.81 per ounce
by 0130 GMT. U.S. gold futures        were steady at $1,732.90
per ounce.
    * The dollar hit a fresh four-month high to the euro on
Thursday amid worries about Europe's third COVID-19 wave and
potential U.S. tax hikes.                    
    * U.S. Treasury yields dipped after the Treasury saw average
demand for an auction of five-year notes, with the market
appearing to stabilize after benchmark yields reached one-year
highs last week.      
    * Lower returns on Treasury bonds reduce the opportunity
cost of holding non-yielding bullion.
    * New orders for key U.S.-made capital goods and shipments
unexpectedly fell in February.             
    * The timeline for when the Fed will start to raise rates
will depend on what is happening with the economy, New York
Federal Reserve Bank President John Williams said on Wednesday.
            
    * Chicago Fed President Charles Evans also said the central
bank will not reduce monetary policy accommodation until it sees
actual improvements.             
    * Treasury Secretary Janet Yellen on Wednesday said U.S.
banks look healthy enough to be allowed to pay dividends and
repurchase stock.             
    * China will maintain credit support continuity and
stability for small and micro firms, the country's central bank
said on Thursday.             
    * SPDR Gold Trust      , the world's largest gold-backed
exchange-traded fund, said its holdings fell 0.2% to 1,043.03
tonnes on Wednesday from 1,045.36 tonnes Tuesday.         
    * Palladium        fell 0.2% to $2,630.32, silver       
rose 0.1% to $25.10 and platinum        was up 0.2% at
$1,169.96.
    
     DATA/EVENTS (GMT)
    0745 France  Business Climate Mfg   March
    1200 Brazil  IPCA-15 Mid-month CPI  March
    1230 US      GDP Final              Q4
    1230 US      Initial Jobless Claim  weekly

 (Reporting by Diptendu Lahiri in Bengaluru; Editing by Devika
Syamnath)