Gold Futures Inch Higher After Losses

Gold futures inched higher in Asia trading hours on Tuesday, gaining along with other metals as the dollar slipped back.

Gold for December delivery GCZ2 +0.33% GCZ2 +0.33% GCZ2 +0.33% rose $1.00 to trade at $1,738.70 an ounce.

The gains came as the ICE dollar index DXY -0.28% , which measures the greenback against a basket of six currencies, traded at 79.703 in Asia hours on Tuesday, from 79.711 in late North American trading on Monday.

Weakness in the dollar tends to aid dollar-denominated commodities such as gold because it makes them cheaper for holders of other currencies.

Gold futures fell GCZ2 +0.34% $22.10 an ounce on Monday to extend last week’s 1.2% drop.

As “U.S. currency and inflation expectations have stabilized, gold has given back some of its gains,” said Julian Jessop, head of commodities research at Capital Economics.

Gold will likely need a new catalyst to notch another run of strong gains, Jessop believes, naming a renewed escalation of the crisis in the euro-zone as a top contender for such a trigger.

Around the metals complex, December silver futures SIZ2 +0.63% rose 10 cents to $32.84 an ounce, while December copper futures HGZ2 +0.54% climbed 2 cents to $3.72 per pound.

January platinum futures PLF3 +0.95% were up $12.90 to $1645.60 an ounce while December palladium futures PAZ2 +1.00% rose $4.30 an ounce to $636.90.

Marketwatch