Gold prices up

LONDON. — Gold rose for an eighth straight session yesterday as a retreat in the dollar encouraged some investors to buy into the metal, while this year’s leading precious metal palladium hit another near 17-year peak.

Gold prices have risen more than 3 percent over the last two weeks as the dollar, in which the metal is priced, turned lower. Spot gold was up 0,2 percent at $1,285.66 an ounce at 1500 GMT, having earlier reached its highest in almost a month at $1,286.36 an ounce. US gold futures for February delivery were $ 2,40 an ounce higher at $1,289.90

“A lack of liquidity and the weakness of the US dollar are bringing more interest into the precious metals. Not everybody is at their desks, especially last Friday and yesterday. We may try to test the waters around $1 300. There seems to be a bit of physical interest coming from the Chinese side as we approach the ( Lunar) New Year in February. I wouldn’t be surprised if this buying continues” Afshin Nabavi, head of trading at MKS in Switzerland said.

The dollar fell against the euro yesterday. Traders said there was little news to support the euro’s rise, though some investors have positioned for a possible strengthening in the single currency into the new year following a stellar 2017, its best year versus the greenback since 2003.

Among other precious metals, palladium rose over 1 percent to its highest since February 2001 at $1,069.50 an ounce — just $ 5,50 an ounce from that month’s peak — before edging back to $1,052.90, up 0,1 percent.

Palladium has been the best performer of the precious metals complex in 2017, up more than 50 percent as years of deficit and expectations for rising demand from the car industry bolstered the investment case for the autocatalyst metal.