Precious metals rally as US dollar weakens vs euro

NEW YORK -- Precious metals rose Friday as a fresh drop in the dollar and speculation that crude oil's plunge may soon end fed safe-haven buying of gold, silver and copper. Other commodities traded mixed. Crude, despite questions from some investors about its near-term direction, fell more than $2 a barrel, while corn, wheat and soybean prices rose sharply. Steep drops in the price of crude - more than $20 a barrel in the past nine trading sessions - have weighed heavily on gold prices, which have fallen 5 percent in the past week. But some traders, believing oil is oversold and has more room to rise, have started buying the metal again on expectations that high energy prices, a weak dollar and lingering economic turmoil will boost demand for safe-haven assets. A falling dollar typically leads investors to buy gold, which is... [read full story]