The European currency rose to a 27-month high against the dollar
Gold and silver climbed as the dollar headed for its fourth consecutive weekly decline against the euro, spurring investors to buy the precious metals as an alternative investment to U.S. stocks and bonds, Bloomberg reported.
The European currency rose to a 27-month high against the dollar after European Central bank policy maker Axel Weber said the bank can't signal it's finished raising interest rates yet because of the "extremely positive'' outlook for the euro- region economy, Handelsblatt reported today, citing an interview. Gold generally moves counter to the dollar.
Gold for immediate delivery in London rose $3.10, or 0.5 percent, to $686.05 an ounce at 10:06 a.m. local time. The metal has advanced 0.1 percent this week. Silver for immediate delivery gained 12.5 cents, or 0.9 percent, to $13.805 an ounce.