2023.02.0718:14:00UTC+00Gold Futures Settle Higher For 2nd Straight Day

Gold prices moved higher on Tuesday, extending gains from the previous session, as the dollar turned a bit weak amid signs inflation is slowing down.

The dollar index dropped to a low of 103.00 a little past noon before recovering and emerging into positive territory.

Gold futures for April ended higher by $5.30 or about 0.3% at $1,884.80 an ounce.

Silver futures for March ended down $0.060 at $22.177 an ounce, while Copper futures for March settled at $4.0805 per pound, up $0.0455 from the previous close.

Speaking at the Economic Club of Washington, the Federal Reserve Chief Jerome Powell said inflation is beginning to ease, though he expects it to be a long process and cautioned that interest rates could rise more than markets expect if the economic data doesn't cooperate.

"The disinflationary process, the process of getting inflation down, has begun and it's begun in the goods sector, which is about a quarter of our economy," Powell said during an event in Washington, D.C. "But it has a long way to go. These are the very early stages."

Powell spoke in a question-and-answer session at the Economic Club of Washington, D.C. with Carlyle Group co-founder David Rubenstein.

In economic news, data showed U.S. trade deficit widened to $67.4 billion in December 2022, from a downwardly revised $61 billion in November.

Exports increased 17.7% in the month, while imports jumped 16.3%.