BLBG: Gold Futures Climb on Demand for Alternative to Slumping Dollar
Oct. 5 (Bloomberg) -- Gold futures rose in New York as the dollar dropped, boosting the appeal of the precious metal as an alternative investment.
The greenback fell as much as 0.4 percent against a basket of six major currencies. Before today, gold gained 14 percent this year, while the dollar declined 5.3 percent.
“The dollar is moving a little lower, and that’s giving gold a pop,” said Matt Zeman, a metals trader at LaSalle Futures Group in Chicago.
Gold futures for December delivery climbed $1.70, or 0.2 percent, to $1,006 an ounce at 10:57 a.m. on the Comex division of the New York Mercantile Exchange. Earlier, the metal dropped as much as 0.3 percent.
To contact the reporter on this story: Pham-Duy Nguyen in Seattle at pnguyen@bloomberg.net.
