Gold futures in New York jumped 4.6 percent to finish at a three-week high on Friday in a holiday-shortened session as a weaker dollar made the precious metal more attractive to investors.
Gold for August delivery at the Comex division of the New York Mercantile Exchange rose $27.10 to $616 an ounce, after trading from $587.80 to $618, its highest level since June 9. Trading shut, at around noon, and the Nymex/Comex markets will remain shut until on Wednesday for the US Independence Day holiday on July 4.
Many analysts had said there was more room for gains in gold after it hit a 26-year high last month above $730 an ounce and then retreated on profit-taking.
Spot gold rallied up to $612.60/613.60, from $592.00/4.00 at Thursday's New York close. On Friday's afternoon bullion fix in London hit $613.50. Comex September silver rose 50 cents, or 4.8 percent, to $10.92 an ounce, within a $10.40-to-$11.13 range and hitting a 2-1/2-week high.
Spot silver fetched $10.96/11.06, up from $10.50/60. On Friday's fix rose to $10.70. Nymex October platinum was up $41, or 3.4 percent, at $1,241.70 an ounce. Spot rose to $1,224/1,234. September palladium gained 3.2 percent, or $10.10, to $323.50 an ounce. Spot was worth $314/320.