Gold prices have posted mild gains as news of a ceasefire in Ukraine tempered support from a weaker US dollar.
Gold prices have posted mild gains as news of a ceasefire in Ukraine tempered support from a weaker US dollar.
Gold for April delivery, the most actively traded contract, rose $US1.10, or 0.1 per cent, to settle at $US1,220.70 a troy ounce on the Comex division of the New York Mercantile Exchange on Thursday.
European officials brokered a truce between Russia and Ukraine that aims to end nearly a year of fighting but warned that much work is required to implement the accord.
Still, the chance for peace between Kiev and Russian-backed separatists in eastern Ukraine reduced the risk of upheaval in the area, and gold investors trimmed their holdings.
Some investors view gold as a haven asset that is more likely to keep its value than stocks or bonds in periods of uncertainty or turmoil.
Earlier in the day, gold prices had marched as high as $US1,232.80 an ounce after the US dollar fell against a basket of currencies.
Gold is traded in US dollars and becomes less expensive for foreign buyers when the US dollar eases against their home currency.
Traders continue to exit the gold market.
Comex gold open interest, a measure of futures positions kept open overnight, tumbled 14 per cent from a two-month high reached on January 23, while gold prices fell 5.6 per cent over the same period.
"Funds have been fleeing gold lately and moving to equities," RBC Capital Market Global Futures senior vice president George Gero said.
Settlements (ranges include open-outcry and electronic trading):
London PM Gold Fix: $US1,225.25; previous PM $US1,223.75
Apr gold $US1,220.70, up $US1.10; Range $US1,218.00-$US1,232.80
Mar silver $US16.794, up 3.3 US cents; Range $US16.605-$US17.040
Apr platinum $US1,200.50, up $US4.90; Range $US1,194.10-$US1,207.50
Mar palladium $US773.65, up $US7.10; Range $US768.45-$US779.25
