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Gold prices retreat as U.S. dollar strengthens, traders take profits

Gold prices retreated on Monday, but held above $2,000 per ounce amid a bout of what one precious-metals strategist described as “routine profit taking.” A stronger U.S. dollar also weighed on the yellow metal. Price action Gold futures for June delivery GC00, -1.17% GCM23, -1.17% fell by $10.20, or 0.5%, to $2,016 per ounce on

gold-prices-retreat-as-us.-dollar-strengthens,-traders-take-profits

Gold prices retreated on Monday, but held above $2,000 per ounce amid a bout of what one precious-metals strategist described as “routine profit taking.” A stronger U.S. dollar also weighed on the yellow metal.

Price action
  • Gold futures for June delivery GC00, -1.17% GCM23, -1.17% fell by $10.20, or 0.5%, to $2,016 per ounce on Comex.
  • Silver futures for May delivery SI00, -0.71% SIK23, -0.71% gained 11 cents, or 0.4%, to $25.22 per ounce.
  • June palladium PAM23, -2.45% rose by $5.10, or 0.3%, to $1,467 per ounce, while July platinum PLN23, -1.24% rose by $7, or 0.7%, to $1,024 per ounce.
  • Copper for May delivery HGK23, -0.92% gained 1 cent, or 0.2%, to $4.02 per pound.
Market drivers

Gold prices rose last week for the sixth week in a row. But prices started off lower as global markets were caught in a post-Easter lull, with much of Europe still out.

“Technically, the gold futures bulls have the solid overall near-term technical advantage,” said Jim Wyckoff, senior analyst at Kitco.com.

Gold prices weakened as the U.S. dollar strengthened. The ICE U.S. Dollar Index DXY, +0.65%, a measure of the buck’s strength against a basket of rivals, rose 0.3% to 102.4.

Gold and silver prices have risen sharply since the start of the new year, continuing a rally that started in the fall.

Expectations that the Federal Reserve could cut interest rates later this year sent gold futures to their highest intraday level in about 13 months on Wednesday. A day earlier, the most-active contract reached the highest settlement level for a most-active contract since May.

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