2023.06.2618:00:00UTC+00Gold Futures Settle Modestly Higher As Dollar Turns Weak

Gold futures settled modestly higher on Monday as the dollar drifted down against other major currencies.

Gold gained on safe-haven appeal after weak PMI data from Europe and the U.S. last week raised concerns about a deep downturn in major economies.

The dollar index, which dropped to 102.61 in early New York session, edged up slightly to 102.70, but still remains in negative territory, losing about 0.2% from Friday's closing level.

Gold futures for August ended higher by $4.20 at $1,933.80 an ounce.

Silver futures for July ended up $0.472 at $22.826 an ounce, while Copper futures for July settled at $3.7840 per pound, down $0.0195 from the previous close.

Geopolitical tensions contributed as well to the bullion's modest uptick. A short-lived mutiny in Russia by the Wagner paramilitary group has revived concerns over nuclear arsenal security.

U.S. Secretary of State Antony Blinken said the events exposed "real cracks" in Putin's rule.

"It's not a good thing to see that a nuclear power like Russia can go into a phase of political instability," Eu foreign policy chief Josep Borrell told reporters in Luxembourg, adding this was the moment for the EU to continue supporting Ukraine more than ever.