Gold futures settled higher on Monday, gaining for a second straight session, amid optimism about a big economic stimulus from the Joe Biden administration.
A subdued dollar, which moved in a very tight range, also contributed to gold’s rise. The dollar index, which slipped 90.96, was last seen at 90.97, down 0.08% from previous close.
Gold futures for April ended up $21.20 or about 1.2% at $1,834.20 an ounce.
Silver futures for March ended higher by $0.557 at $27.576 an ounce, while Copper futures for March settled at $3.6660 per pound, gaining $0.0400 for the session.
Markets are optimistic about additional stimulus in the U.S. following Democrats taking the first steps toward passing President Joe Biden’s $1.9 trillion relief package without Republican support but continuing to favor a bipartisan approach.
U.S. Treasury Secretary Janet Yellen predicted the relief plan could generate enough growth to restore full employment by next year.
House Speaker Nancy Pelosi said she believes the final Covid-19 relief legislation could pass Congress before March 15, when special unemployment benefits that were added during the pandemic expire.