US gold futures surged 2 percent Friday, briefly breaching $900 an ounce on the back of a dollar slump and solid crude oil gains amid a broad-based commodity rally. The June gold contract on Comex division of New York Mercantile Exchange up $17.60 or 2 percent at $897.60 an ounce as of 10:15 am EDT (1415 GMT). Ranged $880.50 to $900.20 which was the highest since April 24.
June futures briefly soared earlier to a 3-week high at $900.20 that was well above the low at $880.50. Bullion's brief rise above the $900 level prompted chart-based buying - traders. Extreme dollar weakness, sharp rise in crude oil support gold and other commodities, Wisdom Financial Senior Trader Zachary Oxman said. A close above $900 could send gold futures to test the next resistance area between $920 and $925, Oxman added.
Comex estimated final 9:00 am volume at a busy 74,546 lots. Spot gold at $897.00/898.00 an ounce compared with $879.65/880.85 in late Thursday trade. The London afternoon gold fix at $897.July platinum was up $58.50 or 2.8 percent at $2,135.40 an ounce. June palladium was up $6.40 or 1.5 percent at $447.00 an ounce. Spot palladium quoted at $445/450. July silver futures up 24.50 cents or 1.5 percent at $16.930 an ounce. Ranged $16.755 to $17.080.Spot silver at $16.86/16.92 an ounce versus the $16.70/16.76 late quote of Thursday.