01.02.202109:36:00UTC+00Gold Prices Up As Silver Soars

Gold prices rose on Monday as retail investors expanded their social media-fueled battle against Wall Street to drive silver to a five-month high. The price of silver rocketed more than 10 percent, helping gold prices follow suit.

Silver has now become the latest target after a retail frenzy last week saw the likes of heavily-shorted GameStop (GME) and AMC Entertainment (AMC) surge in revolt to large institutional investors.

Spot gold rose 0.6 percent to $1859.34 per ounce, while U.S. gold futures were up 0.6 percent at $1,861.60.

The upside momentum in the yellow metal is capped by a firmer dollar amid doubts surrounding the imminent debate around extra fiscal stimulus by U.S. policymakers and the potential impact on growth prospects of the slow vaccine rollout. Huge volatility in the stock markets also helped increase demand for the U.S. dollar.