A salesman arranges gold bangles.
Published — Wednesday
The dollar reached a one-month low this week versus the euro as a gauge of US business activity fell more than forecast.
The manufacturing data overshadowed a report showing gains for the housing market.
Bullion rose 3 percent since the end of March.
Prices climbed 10 percent this year, outpacing gains for indexes of commodities, equities and Treasuries.
The rebound defied bearish predictions from
"Some people are moving into safe-haven investments as they are getting mixed signals from the economy,"
"The weak dollar is also providing support."
Gold futures for August delivery rose 0.2 percent to settle at
Bullion jumped 6.1 percent this month. The Standard & Poor's GSCI Spot Index of 24 commodities rose 1.4 percent. The MSCI All-Country World Index of equities gained 1.7 percent, and the Bloomberg Treasury Bond Index slid 0.2 percent.
Gold climbed 70 percent from
Investors haven't been swayed to increase holdings even with this year's gains.
Assets in exchanged-traded products backed by bullion fell to 1,712.9 tons on
The metal plunged 28 percent last year, the most in three decades, wiping more than
"Gold's recent gains are unlikely to last over the longer term,"
"If and when geopolitical tensions ease, we continue to expect gold to return to its downward trajectory."
Volatility in futures is near a four-year low, at a time when trading volumes and open interest in Comex contracts are waning.
Prices will drop to
The slowdown in physical buying will pressure prices, according to
Silver futures for September delivery fell 0.4 percent to
Prices rose 6.6 percent since March, extending last quarter's 2 percent rally.
(c) 2014, Bloomberg News.
Most Popular Stories
- Businesses, Investors Pressing for Green Policy
- 'The Voice' Sounds Different This Season
- NSHMBA to Rebrand With New Name, Logo
- Lower Used-Car Prices Roil the Auto Industry
- Chrysler and Google Launch Virtual Plant Tour
- Investors Fret Yahoo's Future, Stock Dips
- Perry Wants to Skip Court for Foreign Trip
- Liberty Power Helps USHCC Go Green
- Hispanic Designer Honored As Rising Star
- Porn Lovers Get a New Search Engine