London — Gold prices climbed on Thursday to their highest since August 2016 as a weakening dollar helped it to extend gains of more than 10% since mid-December. The dollar plunged to a three-year low against a basket of major currencies after the US treasury secretary said he welcomed a weaker greenback, making gold cheaper for users of other currencies. The lower dollar could also drive prices higher in the US and increase demand for gold as a hedge against inflation. "Gold is benefiting tremendously from the weaker dollar," said ETF Securities analyst Nitesh Shah. Spot gold was up 0.1% at $1,358.80 an ounce by 10.42am GMT. It had earlier touched $1,366.07, the highest level since August 3 2016. US gold futures were up 0.2% at $1,358.50 an ounce. Gold has broken above its 2017 high of $1,357.54, a key technical level, with further resistance at about $1,370 and the 2016 high of $1,374.91. Momentum indicators signalled that gold should rise further, ScotiaMocatta analysts said. "Exc...
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