Bullion prices ended higher at Comex, 03 December 2018 at Comex. Gold futures on Monday climbed to their highest finish in a month, as a cease-fire in the trade skirmish between the U.S. and China weakened the dollar, which has been the de facto haven amid tariff conflagrations between the world's largest economies.
Gold for February delivery climbed $13.60, or 1.1%, to settle at $1,239.60 an ounce, for the contract's highest settlement since 1 November 2018. Prices registered a weekly fall of nearly 0.3% on Friday.
Meanwhile, March silver added 28.2 cents, or 2%, at $14.499 an ounce, after settling Friday with a weekly decline of 1%.
The ICE U.S. Dollar Index was down 0.3% at 96.985. A weaker dollar typically boosts investment demand for dollar-priced commodities, like gold.
Moves for the assets come after President Trump and Chinese President Xi Jinping approved a pact on Saturday at the G-20 summit in Buenos Aires, offering a 90-day pause of hostilities between Beijing and Washington, just as a planned increase in tariffs to 25% from 10% was scheduled for Jan. 1, on $200 billion in Chinese goods exports to the U.S.
Monday's upbeat developments in trade talks lifted the Dow Jones Industrial Average and the S&P 500 index which ordinarily would detract gold appetite. However, weakness in the dollar appeared to overshadow that bearish factor.
Upbeat economic data Monday put some pressure on gold early Monday, pulling prices for the metal away from session highs. The Institute for Supply Management said its manufacturing index snapped back in November to 59.3% from a five-month low of 57.7% in October.