Gold Edges Higher on Weaker US Dollar, Oil Gains
Singapore, Gold prices rose on September 9 as a weaker US dollar offset concerns about inflation stemming from recent attacks on ships in the Middle East. The precious metal gained up to 0.7% after dropping 2.6% over the previous three sessions.
A gauge of the US dollar has fallen around 0.4% this week, making gold cheaper for many buyers. However, higher crude prices have raised fears that rising energy costs could keep inflation elevated, according to Manav Modi, commodity analyst at Motilal Oswal Financial Services.
The Japanese yen strengthened to a seven-month high, providing some support to bullion. Oil extended gains, with benchmark Brent crude close to $100 a barrel, adding momentum to the case for a rate hike ahead of the Federal Reserve's September 14-15 meeting.