Gold Prices

Gold Rises on the Back of a Weak Dollar

Gold prices rose slightly at the start of trading in Asian markets on Monday.

This was driven by a weaker dollar and U.S. economic data that dampened expectations of an interest rate hike in September.

The spot price of gold rose 0.3% to $4,388.62 per ounce.

Meanwhile, U.S. gold futures for December delivery rose 0.2% to $4,444.30 per ounce.

The rise in gold prices coincided with a 0.1% decline in the U.S. dollar index, making the yellow metal less expensive for holders of other currencies.

The decline in U.S. nonfarm payrolls in July, along with data showing a modest rise in consumer prices, also contributed to a reduction in expectations for monetary policy tightening.

Market estimates indicate a 33% probability of an interest rate hike in September, compared to about 47% a month ago.

Market estimates indicate a 33% probability of an interest rate hike in September, compared to about 47% a month ago.

Among other precious metals, silver rose 0.8% to $65.19.

Platinum rose 0.4% to $1,755.40, while palladium increased 1.2% to $1,329 per ounce.

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