Gold prices rise moderately on statements of Fed’s chief

Gold prices rose slightly on February 8 morning, approaching the level of $1,890 per troy ounce after the speech of the head of the US Federal Reserve System (FRS) Jerome Powell, Report informs referring to the auction data.

The price of April gold futures on the New York Comex exchange rose by $4.25, or 0.23%, to $1,889.05 per troy ounce. March silver futures rose 0.71% to $22.335 an ounce.

Traders appreciated the statements of the Fed's chief who commented on inflation and the rate in Washington on February 7.

The head of the central bank noted the slowdown in inflation, but warned that this is only the earliest stage, and the process could be lengthy. The regulator itself will continue to monitor the incoming data and, based on this information, make a decision on the rate. Markets took his statements not hawkish enough after a strong unemployment report last week.

The dollar index (the exchange rate against a basket of currencies of six US trading partners) fell by 0.1% to 103.33 points. The weakening dollar also supports the rise in the price of gold, making it more affordable to buy in another currency.