Gold gains as dollar weakens Monday

 Gold gains as dollar weakens Monday

Mubasher: Gold prices rose on Monday on the back of a weak dollar and ahead of official data in the US.

By 10:04 am GMT, gold futures grew 0.56% or $7.40 to $1,323.10 per ounce, while spot gold gained 0.35% or $4.59 to reach $1.321.24 per ounce.

Last week, prices for the precious metal had dropped by 1.6% as the dollar rose, logging strong gains at a time when US bourses suffered sharp drops and volatility.

Investors are awaiting data on US inflation due this week, which in turn will act as an indicator to whether or not the Federal Reserve will hike interest rates further.

Later on Monday, US President Donald Trump is scheduled to uncover a programme that will transform how the country’s infrastructure is funded and developed. However, the programme itself faces Congress and financing hurdles as to where the money to pay for it will come from.

In the meantime, the US dollar index fell 0.20% to 90.259.