Gold futures rose Friday, holding above the $1,300 U.S. level amid ongoing violence in Iraq and the likelihood of steady U.S. interest rates for a while.
Gold for August delivery was up $5.10, or 0.4%, to $1,319.50 U.S. an ounce on the Comex division of the New York Mercantile Exchange, while July silver added 29 cents, or 1.4%, to $20.95 U.S. an ounce.
A day earlier, gold exploded for a 3.3% rally to reach its highest point since April 14.
On Wednesday, the Federal Reserve decided to cut its monthly bond purchases by another $10 billion U.S. Federal Reserve Chair Janet Yellen indicated that interest rates could remain at low levels until the middle of next year, in part by brushing off recent data showing higher-than-expected consumer-price inflation.
Gold prices have benefited from the low-interest environment that has made alternative assets more attractive in comparison.
There’s not much in the way of economic data on the docket for Friday, but it is a quadruple-witching day, which brings the expiration of a mix of futures and options and typically boosts volume.
Elsewhere in metals trading, July platinum dropped $11.60, or 0.8%, to $1,463.50 U.S. an ounce, while September palladium gave up $12.50, or 1.5%, to $826.10 U.S. an ounce.
High-grade copper for July delivery added five cents, or 1.5%, to $3.12 U.S. a pound.
