WASHINGTON (dpa-AFX) - Despite a weak dollar, gold futures recorded their biggest single-session drop in over four years on Monday, amid easing geopolitical tensions after Israel and Lebanon reached a ceasefire agreement.
Also, investors chose riskier assets such as equities after Donald Trump nominated hedge fund manager Scott Bessent to lead the U.S. Treasury.
The dollar index dropped to 106.58 in early New York session. Despite recovering to 107.20 subsequently, the index retreated and was at 106.80 a little while ago, down more than 0.7% from previous close.
The dollar eased and bond yields dipped after U.S. President-elect Donald Trump picked hedge fund billionaire Scott Bessent as his Treasury Secretary, raising optimism he would recommend 'tariffs be layered in gradually'.
Gold futures for November closed down $93.10 or about 3.4% at $2,616.80 an ounce, recording the largest single-session drop since November 9, 2020. The contract snapped a five-day winning streak.
Silver futures for November closed down $1.0990 or about 3.5% at $30.210 an ounce, while Copper futures for November climbed to $4.0900 per pound, gaining $0.0160 or 0.39%.
According to reports, Israel is said to be edging closer to a ceasefire agreement with Hezbollah in Lebanon.
Israeli media outlets Haaretz, Walla, Ynet, Kan and American news website Axios reported both parties are getting closer to reaching a deal amid signs of progress in the US-led ceasefire talks.
An agreement could see an end to fighting that has seen heavy casualties in Lebanon over the last one year.
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
