Barons/Shuli Ren/03-26-17
Gold futures jumped 0.7% in early Asian trading on Monday as the U.S. Dollar Index fell another 0.4%, leaving the gauge of the greenback’s strength hovering near a two-month low of 99.3.
The U.S. dollar has long enjoyed the status as the world’s reserve currency, but the greenback’s esteemed standing is increasingly being challenged as China and Russia show their eagerness to to diversify away from the U.S. dollar.
…The weakness in the U.S. dollar can be partly attributed to recent doubts about the reflation policies favored by U.S. President Donald Trump. Gold prices typically rise when the U.S. dollar falls.
