Gold prices kicked off the first full trading week of 2023 at their highest level intraday since early May as a rally driven by a softer dollar and hopes for a less-aggressive Federal Reserve continued.
Price action
-
Gold prices for February delivery
GC00,
+0.68%
GCG23,
+0.68%
gained $9.80, or 0.5%, to $1,879 per ounce on Comex, according to FactSet data. -
Silver prices for March delivery
SI00,
+0.47%
SIH23,
+0.47%
advanced 9 cents, or 0.4%, to $24.08 per ounce. -
Palladium for March delivery
PLJ23,
-0.13%
gained $11.80, or 0.7%, to $1,818 per ounce, while platinum for April
PAH23,
-1.45%
fell $4.50, or 0.4%, to $1,099 per ounce. -
Copper for March
HGH23,
+2.94%
gained 7 cents, or 1.8%, to $3.98 per pound.
Market drivers
Precious metals bulls were getting a boost on Monday from the softer dollar, which helped to push gold to 7-month highs. The weaker buck also helped lift prices of other commodities like crude oil and copper.
“Solidly higher crude oil prices and a drop in the U.S. dollar index are working in favor of the precious metals market bulls to start the trading week,” said Jim Wyckoff, a senior analyst at Kitco.com.
The ICE U.S. Dollar Index
DXY,
a gauge of the dollar’s strength against a basket of its main rivals, was off 0.6% at 103.25.
Crude-oil prices advanced on the weaker dollar and expectations that China’s easing of COVID-19 restrictions will help to bolster demand.
West Texas Intermediate crude for February delivery rose $2.33, or 3.1%, to $76.06 a barrel
CL00,
CL.1,
CLG23,
on the New York Mercantile Exchange.