Gold moderately rises in price amid weakening dollar

Gold prices rose on March 3 morning, Report informs referring to the auction data.

The depreciation of the dollar supports the quotes of the precious metal.

The price of April gold futures on the New York Comex exchange rose by $4.05, or 0.22%, to $1,844.55 per troy ounce. May futures for silver rose 0.89% to $21.087 an ounce.

The dollar index (the exchange rate against a basket of currencies of six US trading partners) fell by 0.16% to 104.86 points. The depreciation of the dollar supports the demand for gold, making it more affordable to buy in another currency.

Markets continue to assess the prospects for the monetary policy of the US Federal Reserve System (FRS). It is expected that the regulator will again raise the key rate following the March meeting. The tightening of the regulator’s monetary policy is associated with a high level of inflation, which, although showing signs of slowing down, remains well above the target level.

Gold is sensitive to signals from the Fed, as it affects the dollar, which in turn affects the value of assets such as gold.