Producers of metals and other raw materials rose as a combination of a spike in Covid-19 cases and inflationary stimulus policies spurred demand for gold.
Gold futures dated for June rose 0.8% to $1,759.30 a troy ounce on the Comex division of the New York Mercantile Exchange, closing at their highest level since October 2012. Prices are up about 16% for the year and around their highest level since late in 2012, boosted by coronavirus-related economic uncertainty and expectations for ultralow interest rates. Gold miners rose in light of the precious metal's price gains.
The prices of industrial metals continued their recent rebound, spurred by further weakness in the dollar. Most metals are priced in the greenback, no matter what currency is used to purchase them, so weakness in the dollar typically spurs demand and, consequently, prices.
Copper futures have now risen for five straight weeks. A recent decision by Chilean miner Codelco to reduce activity at one of its mines because of coronavirus concerns also boosted copper prices Monday, as reported earlier.
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