The following chart provides a update on the current 24h spot price of gold. Chart and commentary to follow ~
NEW YORK (MarketWatch) -- Gold futures rose on Monday, as weakness in the U.S. dollar against other major currencies boosted demand for the precious metal.
Gold for February delivery gained $8.10 at $808.30 an ounce on the New York Mercantile Exchange. Other metals prices were mixed.
On Friday, gold dropped $6.90, but posted a weekly gain of $11.10.
"Interest rates, more credit-market jitters and contracting energy
prices kept the precious metals in a volatile mood last week, and will be a feature in the week ahead as traders begin to position themselves for the pending holiday period and year-end," said James Moore, an analyst at TheBullionDesk.com, in a research note.
The dollar index, which tracks the performance of the dollar against a basket of other major currencies, dropped 0.3% to 76.045. The euro gained 0.4% at $1.4707 and sterling strengthened 0.6% at $2.0456.
"Gold is likely to take its cue from the Federal Reserve's interest-rate decision with further interest-rate cuts likely to weaken the dollar and bolster gold," said Mark O'Byrne, director at Gold and Silver Investments Ltd., in a research note.
The Federal Reserve is expected to trim rates by a quarter-percentage point on Tuesday for a third straight meeting, just days before government data are released showing some of the highest inflation rates in decades.
See Economic Preview.
Also on Nymex Monday, March silver gained 8.50 cents at $14.590 an ounce, January platinum rose $2.30 at $1,464.50 an ounce, while March palladium was flat at $347.60 an ounce.
December copper fell 3.85 cents, or 1.2%, to $3.0560 a pound.
Gold warehouse inventories declined by 23,925 troy ounces to stand at 7.4 million troy ounces as of late Thursday, according to Nymex data. Silver stockpiles fell by 137,609 troy ounces to 133.9 million troy ounces and copper supplies edged down 360 short tons to 17,383 short tons.
Polya Lesova is a MarketWatch reporter based in New York.
