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By 2 Minute Read* The dollar index falls 0.1 percent against its peers* The Federal Reserve’s minutes are due on Wednesday* Platinum is up 1%. (Updates prices, recasts, adds comments) Reuters, July 6 – Gold prices rose to their highest level in over three weeks on Tuesday, as the dollar fell, making metal less expensive for holders of foreign currencies, as investors awaited the Federal Reserve’s minutes for clarity on monetary policy. As of 0315 GMT, spot gold was up 0.4 percent to $1,798.46 per ounce, its highest level since June 17. Gold futures in the United States increased 0.8 percent to $1,798.10 per ounce. “Gold prices are being boosted mostly by a falling US currency. After the June FOMC meeting, gold was severely discounted, but now that expectations have been priced in, buyers are returning to the market “Margaret Yang, a DailyFX expert, agreed. “However, given the global hawkish tilt in monetary policies, gold’s rising potential may be restricted. Prices are unlikely to return to early June levels anytime soon.” The dollar fell 0.1 percent, pulling down from a three-month peak reached last week. The focus this week is on minutes from the Fed’s most recent meeting, which are coming on Wednesday, following the central bank’s hawkish turn last month, when officials forecast a start to rate hikes in 2023, driving gold prices below $1,800. Holding bullion, which pays no interest, has a higher opportunity cost when interest rates rise. “Gold prices may be able to retain recent advances, but sticking over $1,800 resistance may not be on traders’ radar until the latest minutes of the Fed’s meeting are issued,” said Avtar Sandu, senior commodities manager at Phillip Futures. Asian stock markets opened little higher ahead of Australia’s central bank’s announcement on its quantitative easing program. Silver was up 0.5 percent to $26.58 per ounce, palladium was up 0.3 percent to $2,821.85, and platinum was up 1% to $1,108.52. (Brijesh Patel in Bengaluru contributed reporting, and Sherry Jacob-Phillips edited the piece.)/nRead More

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