Gold up 0.6 so far this week
Platinum, palladium bound for 2nd straight weekly dip
Dollar heads for a weekly fall

Jan 20 Reuters Gold prices scaled their highest levels since late April on Friday and were on track for a fifth consecutive weekly gain amid anticipation of slower rate hikes from the U.S. Federal Reserve and fears of a possible recession.

Spot gold was little changed at 1,931.59 per ounce, as of 0939 GMT. Prices rose 0.6 this week so far.

U.S. gold futures rose 0.5 to 1,933.00.

Much of this move in gold has been prompted by shifting sentiment with respect to the Fed39;s rate cycle, StoneX analyst Rhona O39;Connell said.

Also helping is the desire to mitigate risk from factors such as inflationary forces, how the central banks are managing them, and mixed views over the outlook for equities against an uncertain economic backdrop.

Fed funds futures are pricing in a smaller 25basispoint interest rate increase by the U.S. central bank at the conclusion of its twoday meeting on Feb. 1, after recent economic data showed signs of cooling inflation.

Gold tends to gain when rate hike expectations recede because lower rates reduce the opportunity cost of holding nonyielding bullion.

As long these two key sources of inspiration U.S yields and the dollar remaining near new cycle lows for momentum and machinedriven strategies continue to support, gold is likely to remain supported, Saxo Bank said in a note.

The dollar was 0.1 higher but was set for a…