Investing.com – Gold futures edged higher on Tuesday, hitting a fresh four-week high as prices were boosted by a broadly weaker U.S. dollar, however gains were limited as fears over a Greek default eased.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,540.65 a troy ounce during U.S. morning trade, easing up 0.1%.
It earlier rose to USD1,541.75 a troy ounce, the highest price since May 4.
Gold prices remained less than 2.5% away from a record-high of USD1,577.15 an ounce it hit on May 2.
Weakness in the U.S. dollar contributed to gold’s strength. The greenback dropped to a three-week low against the euro following reports that Germany could make concessions to facilitate a new bailout package for Greece.
The dollar index was down 0.57% to hit 74.60, after earlier dropping to a four-week low of 74.51. Gold prices often move inversely to the U.S. dollar, as gold becomes less expensive for buyers using other currencies.
Meanwhile, a flurry of weaker-than-expected U.S. data also supported prices. The S&P/Case-Shiller home price index fell by 3.6% in March, slightly more than the expected 3.4% decline.
Separate reports showed that manufacturing activity in the Chicago area fell significantly more-than-expected last month, while U.S. consumer confidence unexpectedly declined.
The disappointing data kept hopes that U.S. interest rates would stay lower, boosting the appeal of gold and other precious metals.
Elsewhere, silver for July delivery climbed 0.9% to trade at USD38.43 a troy ounce during U.S. morning trade, while copper for July delivery added 0.88% to trade at USD4.201 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,540.65 a troy ounce during U.S. morning trade, easing up 0.1%.
It earlier rose to USD1,541.75 a troy ounce, the highest price since May 4.
Gold prices remained less than 2.5% away from a record-high of USD1,577.15 an ounce it hit on May 2.
Weakness in the U.S. dollar contributed to gold’s strength. The greenback dropped to a three-week low against the euro following reports that Germany could make concessions to facilitate a new bailout package for Greece.
The dollar index was down 0.57% to hit 74.60, after earlier dropping to a four-week low of 74.51. Gold prices often move inversely to the U.S. dollar, as gold becomes less expensive for buyers using other currencies.
Meanwhile, a flurry of weaker-than-expected U.S. data also supported prices. The S&P/Case-Shiller home price index fell by 3.6% in March, slightly more than the expected 3.4% decline.
Separate reports showed that manufacturing activity in the Chicago area fell significantly more-than-expected last month, while U.S. consumer confidence unexpectedly declined.
The disappointing data kept hopes that U.S. interest rates would stay lower, boosting the appeal of gold and other precious metals.
Elsewhere, silver for July delivery climbed 0.9% to trade at USD38.43 a troy ounce during U.S. morning trade, while copper for July delivery added 0.88% to trade at USD4.201 a pound.