Gold rose slightly on Monday due to expectations of US Federal Reserve interest rate cuts in June and a weaker dollar, boosting demand for gold, as per a Reuters report.
Spot gold reached $2,166.39 per ounce, up 0.1 per cent, while US gold futures rose to $2,167.70 per ounce, climbing 0.4 per cent. A 0.1 per cent decrease in the dollar against other currencies made gold more affordable.
Traders anticipate a 74 per cent chance of rate cuts in June, per the CME Group’s FedWatch Tool.
Investors are monitoring US core PCE price index data to gauge potential impact on the Fed’s rate projections. Good Friday closures may delay the full market reaction until next week.
Spot gold’s support level could break at $2,161 per ounce, possibly falling to a range of $2,147-$2,152, according to Reuters’ analyst Wang Tao.
Spot silver eased to $24.62 per ounce, platinum rose to $896.23, and palladium climbed to $993.37.
