WASHINGTON (Alliance News) - Gold prices are up Monday morning, extending gains to a sixth successive session with reports about escalating violence in Iraq prompting investors to seek the safe haven of the precious metal.
Gold futures for August delivery are up USD6.50 or 0.51% at USD1,280.60 an ounce, after advancing to USD1,285.10 an ounce, the best level since May 27.
On Friday, gold futures ended up USD0.10 at USD1,274.10 an ounce, extending gains to a fifth straight session.
For the week, gold futures gained 1.7%. Gold rose as the turmoil in Iraq for control of major cities continued unabated. Investors also weighed some soft economic news.
While a report from Thomson Reuters and University of Michigan showed an unexpected deterioration in US consumer sentiment in June, data from the Labor Department showed an unexpected drop in US producer prices in May.
Silver for July is up USD0.050 or 0.25% at USD19.705 an ounce. Meanwhile, copper is up USD0.026 or 0.86% at USD3.056 per pound, amid hopes of increased demand from China following last Friday's data that showed Chinese industrial production to have picked up some pace, rising 8.8% in May.
At 8:30 am ET today, the New York Federal Reserve is scheduled to release the results of its manufacturing survey for June. Economists expect the index to slip to 15 in June from 19.01 in May.
At 9:15 am ET, the Federal Reserve is scheduled to release its industrial production report for May. The consensus estimates call for a 0.5% month-over-month increase in industrial output, while capacity utilization is expected to edge up 0.3 points to 78.9%.
And then, at 10 am ET, the National Association of Home Builders will release the results of its homebuilder confidence survey. Economists expect the housing market index to climb to 47 in June from 45 in May.
A 2-day Federal Reserve meeting kick starts on Tuesday. The central bank is also scheduled to release its updated forecasts apart from the post-meeting policy statement and a press briefing by the Fed Chair.
Investors will be looking ahead to the Commerce Department's housing starts report for May and the jobless claims report this week.
Additionally, the Labor Department's consumer prices report for May, the Commerce Department's quarterly current account report, the Conference Board's leading economic indicators index for May and announcements concerning the Treasury auctions of 2-year, 5-year and 7-year notes are also due this week.