Gold up on weaker U.S. dollar

Gold futures on the COMEX division of the New York Mercantile Exchange rose slightly on Monday as the U.S. dollar weakened, despite stronger U.S. equities.

The most active gold contract for August delivery rose 1.90 U.S. dollars, or 0.14 percent, to settle at 1,329.30 dollars per ounce.

Gold was given support as the U.S. Dollar Index fell on Monday. The index is a measure of the dollar against a basket of major currencies. Gold and the dollar typically move in opposite directions, which means if the dollar goes up, gold futures will fall as gold, measured by the dollar, becomes more expensive for investors.

Lingering support remains in the wake of the United Kingdom leaving the European Union, traders believed that the Fed will delay the previously expected July interest rate increase until 2017. Previous Fed minutes led traders to believe that the Fed may raise rates from 0.50 to 0.75 during the December FOMC meeting. According to the CMEGroup's Fedwatch tool, the current implied probability of a hike from 0.50 to 0.75 is at 0 percent for the July meeting, 12 percent at the September 2016 meeting, and 13 percent at the November 2016 meeting, and 43 percent at the December meeting.

Silver for September delivery fell 9 cents, or 0.45 percent, to close at 20.075 dollars per ounce. Platinum for October delivery added 7.20 dollars, or 0.66 percent, to close at 1,101.60 dollars per ounce. Enditem