WASHINGTON (dpa-AFX) - Gold prices rose on Monday to hover near one-week high, as surging oil prices along with an increase in global commodity prices added to existing inflationary pressures.
Spot gold edged up 0.2 percent to $1,811.88 per ounce, while U.S. gold futures were up 0.3 percent at $1,812.35.
Growing concerns about widening price pressures boosted the precious metal's appeal as an inflation hedge and helped cushion the impact of a stronger dollar and rising Treasury yields.
The U.S. dollar continued to fins support, helped by a rise in U.S. Treasury yields, after last week's strong U.S. jobs data intensified expectations that the Federal Reserve is likely to raise interest rates faster in the months ahead.
Investors await a key report on U.S. inflation due later this week, which is expected to show an increase of 7.3 percent on year in January.
Geopolitical tensions were also in focus, with the White House warning Russia could invade Ukraine any day.
On the other hand, French President Emmanuel Macron, who flies to Moscow today in a risky diplomatic move and will travel to Kyiv on Tuesday, is optimistic he can secure peace.
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