Gold keeps rally going as dollar eases, stocks churn
MARKETWATCH 8:02 AM ET 5/22/2017 Symbol Last Price Change GLD 119.4 0 (0%) GDX 22.86 0 (0%) SLV 15.94 0 (0%) QUOTES AS OF 08:00:00 PM ET 05/19/2017
Markets looking ahead to Fed meeting minutes out this week
Gold prices firmed Monday, looking to add to the their largest weekly gain since mid-April, as declines in the U.S. dollar index and seemingly stalled equities boosted demand for the metal.
June gold tacked on $3.40, or 0.3%, at $1,257 an ounce.
Gold scored a roughly 2.1% advance for last week, a trading stretch marked by rising volatility and political unrest in the White House. That was the largest such gain since the week ended April 13.
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Still, "rhetoric suggesting the central bank remains on track to raise rates next month despite recent U.S. political jitters may weigh on gold" as the week goes on, said Ilya Spivak, currency and commodities strategist with Daily FX.
Financial markets now only rate the probability of the U.S. Fed raising interest rates at its next meeting in mid-June as being roughly 70%. That's down from nearly 100% odds priced in earlier this month but still shows that many are convinced the Fed is ready to move again. Higher rates tend to make gold, which doesn't bear a yield, less appealing relative to other investments.
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In other metals, July silver rose 21 cents, or 1.3%, to $17.01 an ounce and July copper rose less than 1 cent, or 0.2%, to $2.5865 a pound. July platinum climbed $1.10, or 0.1%, to $941.30 an ounce, but June palladium declined $ 2.10, or 0.3%, to $758.60 an ounce.
In exchange-traded funds, the SPDR Gold Trust(GLD) rose 0.2% premarket, while the VanEck Vectors Gold Miners ETF(GDX) added 0.5%. The iShares Silver Trust(SLV) was up 0.9%.
-Rachel Koning Beals; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires 05-22-170802ET Copyright (c) 2017 Dow Jones & Company, Inc.
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