Gold prices rose on Monday as the dollar decreased, with spot gold up 0.2% at $2020.80 per ounce. U.S. gold futures also increased by 0.2% to $2029.30. The dollar index fell by 0.1%, making the yellow metal more attractive to overseas buyers.
Tim Waterer, senior market analyst at KCM, indicated that "a decline in inflation will weaken the U.S. currency due to expectations of the Federal Reserve lowering interest rates, which could lead to a rise in gold prices." He added: "Gold will be among the main beneficiaries if there are other signs of weakness in the U.S. economy, with prices potentially moving to $2100 sooner rather than later."
In other precious metals, silver rose by 0.1% in spot transactions to $25.67 per ounce. Platinum increased by 0.5% to $1064.03, while palladium gained 1.5% to $1513.11.
