Gold prices post muted gain as stock-market rally fades, the U.S. dollar slumps

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Gold futures settled higher Tuesday, posting a slight gain as the U.S. dollar softened and gains for equity markets in the U.S. faded in afternoon action. Gold for February delivery rose $2.50, or 0.1%, to end at $1,882.90 an ounce, following a 0.1% decline on Monday. The dollar slumped by 0.3% as measured by the ICE U.S. Dollar Index , a gauge of the U.S. unit against a basket of a half-dozen major currencies. Weakness in the buck can help to boost appetite for dollar-priced precious metals among overseas buyers. Meanwhile, a retreat in equity markets after a trifecta of record closing highs for the Dow Jones Industrial Average , the S&P 500 index and the Nasdaq Composite Index could be helping to foster some buying among those investors looking to hedge their gains headed into 2021.
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