2022.03.2118:17:00UTC+00Gold Futures Settle Slightly Higher

Gold prices edged higher on Monday, recovering from day's lows, as lingering concerns about Russia-Ukraine war contributed a bit to boost the demand for the safe-haven commodity.

A stronger dollar limited gold's gains. The dollar index climbed to 98.47, gaining about 0.25%.

Prices drifted lower earlier in the session after comments from the Federal Reserve Chairman Jerome Powell about inflation suggested the central bank might hike interest rate by more than 25 basis points at least once this year.

Gold futures for April ended higher by $0.20 at $1,929.50 an ounce.

Silver futures for May ended up by $0.226 at $25.313 an ounce, while Copper futures for May settled at $4.7105 per pound, down $0.0290 from the previous close.

"We will take the necessary steps to ensure a return to price stability," Powell said in remarks to the National Association for Business Economics. "In particular, if we conclude that it is appropriate to move more aggressively by raising the federal funds rate by more than 25 basis points at a meeting or meetings, we will do so."

He added, "And if we determine that we need to tighten beyond common measures of neutral and into a more restrictive stance, we will do that as well."

The comments from Powell come after the Fed raised interest rates by 25 basis points last week and signaled more rate hikes are likely in the coming months.

Atlanta Federal Reserve Bank President Raphael Bostic said on Monday he was open to a more aggressive policy tightening, while pencilling in six rate hikes for 2022.