Gold and silver rise as dollar weakens

Gold prices rose on Monday as the dollar weakened and oil prices fell after U.S. President Donald Trump held off on further strikes against Iran in the hope of reaching a diplomatic agreement.

Spot gold gained 0.4% to $4,055.76 per ounce, while U.S. gold futures rose 0.9% to $4,054 per ounce.

Silver climbed 0.9% to $58.13 per ounce. Platinum rose 0.5% to $1,649.35, while palladium gained 1.7% to $1,294.92.

Precious metals were also supported by a weaker dollar following intervention by U.S. authorities in the foreign exchange market to support the Japanese yen. A weaker U.S. currency makes dollar-priced metals more affordable for buyers using other currencies.

Further gains were limited by continued tensions in the Middle East and uncertainty over the U.S. Federal Reserve’s interest-rate policy. Investors are also awaiting U.S. labour market data due this week, which could influence expectations for future rate decisions.

N.Tebrizli