(AP) - A tumbling dollar is renewing demand for commodities.
Gold is bounding higher after three straight days of declines after the U.S. currency dropped to its lowest level against the euro in more than a year. Oil prices, meanwhile, are back above $71. Soft commodities, like corn and sugar, are also higher.
Most commodities are priced in dollars, so a weaker greenback makes them more appealing to foreign investors.
The dollar is faltering ahead of the conclusion of the Federal Reserve’s two-day meeting on interest rates today. The Fed is expected to keep its benchmark interest rate near zero, but investors are eager for any clues on when the central bank might raise rates in the future to fight inflation.
Gold is up $10.60 at $1,015.50 an ounce.
