Gold rises on weaker U.S. dollar

CHICAGO, Jan. 19 (Xinhua) -- Gold futures on the COMEX division of the New York Mercantile Exchange rose on Friday as the U.S. dollar weakened.

The most active gold contract for February delivery rose 7.70 U.S. dollars, or 0.38 percent, to close at 2,029.30 dollars per ounce.

Chicago Federal Reserve President Austan Goolsbee said in an interview with CNBC Friday that "as inflation comes down, that opens the door to a reduction in restrictiveness."

But he declined to say when he thinks the central bank will cut interest rates, only saying reductions could be expected this year "if we continue to make surprising progress on inflation."

Gold demand picked up in China ahead of Lunar New Year festivities, which starts on Feb. 10.

Economic data released on Friday were mixed. The National Association of Realtors reported that U.S. existing-home sales fell 1 percent in December to a seasonally adjusted annual rate of 3.78 million. The sales dropped 6.2 percent from the previous year, down from 4.03 million in December 2022.

The preliminary reading of the University of Michigan consumer sentiment index came in at 78.8 in January, the highest reading since July 2021, compared to 69.7 in December. Economists had forecast a preliminary reading of 70.0.

Silver for March delivery fell 9.60 cents, or 0.42 percent, to close at 22.711 dollars per ounce. Platinum for April delivery fell 5.00 dollars, or 0.55 percent, to close at 907.00 dollars per ounce.