By Claudia Assis and Sara Sjolin, MarketWatch
SAN FRANCISCO (MarketWatch) — Gold futures edged higher Thursday, shaking off initial weakness a day before a much awaited speech from U.S. Federal Reserve Chairman Ben Bernanke that could shed some light on the prospect for further easing measures.
Gold for December delivery GCZ2 +0.06% gained 10 cents to $1,663.10 an ounce on the Comex division of the New York Mercantile Exchange.
The metal declined on Wednesday, as traders remained tentative ahead of the Bernanke speech and the dollar gained ground.
Bernanke’s speech is scheduled for Friday in the gathering of central bankers in Jackson Hole, Wyo.
Market participants will parse out his words for any signs of a fresh round of quantitative easing. Expectations of monetary stimulus traditionally lift gold prices because of the metal’s role as an alternative to devalued currencies.
The dollar weakened on Thursday, providing some support for gold and other commodities.
The ICE dollar index DXY -0.16% , which compares the U.S. unit to a basket of six currencies, was down 81.443 from 81.551 in North American trade late Wednesday.
A lower dollar is a positive for dollar-denominated commodities such as gold as it makes them less expensive for holders of other currencies.
Prices were mixed in the rest of the metals complex.
Silver for September delivery SIU2 -0.44% fell 10 cents, or 0.3%, to $30.74 an ounce, while palladium for the same month PAU2 -0.28% slipped $1.85, or 0.3%, to $633 an ounce.
October platinum PLV2 +0.34% added $5.70, or 0.4%, to $1,526 an ounce and copper for September delivery HGU2 +0.87% rose 3 cents, or 0.9%, to $3.47 a pound.
Claudia Assis is a San Francisco-based reporter for MarketWatch.
Sara Sjolin is a MarketWatch reporter, based in London.
