Gold increases on speculation a weaker dollar will spur demand
Gold today gained for a third day on speculation a weaker dollar will increase demand for the metal as an alternative investment.
By Bloomberg | Updated:
LONDON: Gold today gained for a third day on speculation a weaker dollar will increase demand for the metal as an alternative investment.
Gold rose 0.2 per cent to $ 1,614.20 an ounce. Prices reached a five-week high of $ 1,629.35 on July 27. Silver also rose 0.3 per cent to $ 27.98 an ounce.
The dollar traded near a one-month low versus the euro after German Chancellor Angela Merkel's government backed the European Central Bank's bond-buying plan. Federal Reserve Chairman said people are struggling economically, fueling speculation he is open to increasing bond purchases to spur growth.
Holdings in exchange-traded products expanded for a fifth day yesterday, climbing 2.7 tonnes to 2,403.5 tonnes. Assets are about 0.4 per cent below the record 2,413.6 tonnes reached July 5.
Gold rose 0.2 per cent to $ 1,614.20 an ounce. Prices reached a five-week high of $ 1,629.35 on July 27. Silver also rose 0.3 per cent to $ 27.98 an ounce.
The dollar traded near a one-month low versus the euro after German Chancellor Angela Merkel's government backed the European Central Bank's bond-buying plan. Federal Reserve Chairman said people are struggling economically, fueling speculation he is open to increasing bond purchases to spur growth.
Holdings in exchange-traded products expanded for a fifth day yesterday, climbing 2.7 tonnes to 2,403.5 tonnes. Assets are about 0.4 per cent below the record 2,413.6 tonnes reached July 5.
Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
Bookmark or read stories offline -
Download ET Markets APP
Download ET Markets APP
ADVERTISEMENT
