Market MoversOn the Rise Shares of gold miners gained on Tuesday, tracking rising prices for the precious metal as a retreating U.S. dollar made it cheaper for consumers.
Gold prices climbed as much as 1 per cent on Tuesday as a pullback in the greenback outweighed pressure from hawkish remarks by U.S. Federal Reserve officials on interest rate hikes.
Spot gold was up 0.8% at $1,753.91 per ounce, while U.S. gold futures gained 0.9% to $1,754.90.
Gold prices posted their worst day in a month on Monday, shedding nearly 1%, following hawkish comments from Fed officials James Bullard and John Williams.
The dollar index fell 0.4% against its rivals on Tuesday, making gold less expensive for other currency holders.
While the slightly weaker dollar is supporting gold at the moment, we still expect that further Fed rate hikes will weigh on gold prices over the coming weeks, UBS analyst Giovanni Staunovo said.
TSX-listed stocks rising include Barrick Gold Corp. ( +1.96%)
increase
and Newmont Corp. ( +2.92%increase
) as well as Agnico Eagle Mines Ltd. ( +3.44%increase
) and Kinross Gold Corp. ( +3.10%increase
) Up to Monday’s close, spot gold had fallen 4 per cent year-to-date, while gold futures lost 4.1 per cent.