Pedro Goncalves writes:
Gold prices remained near record levels on Monday, buoyed by a weakening dollar, as market attention shifted to a crucial inflation report set for later this week.
The spot price of gold rose by 0.2%, reaching $2,942.05 per ounce, while gold futures rose by 0.1% to $2,957.00. The yellow metal reached an all-time high of $2,954.69 last Thursday.
“Disappointing US macro data at the tail end of last week has caught up with the dollar, which has opened the door higher for gold,” said Tim Waterer, chief market analyst at KCM Trade. “With trade uncertainties not looking like they are disappearing anytime soon, gold could still be eyeing off reaching new all-time highs again this week.”
Gold hit a series of record highs last week, driven by sustained haven buying following president Donald Trump’s threats of additional trade tariffs. Worries about a potential US economic slowdown also fuelled demand for gold, especially after weak purchasing managers’ index (PMI) and consumer sentiment data.
A drop in the dollar — on growing expectations that a softer economy may prompt more interest rate cuts — helped lift broader metal prices as well.
