Precious metals' values rose following U.S. president Barack Obama committing to extend tax cuts, which also prompted the value of the dollar to slightly slip and perform poorly against its 16 most common counterparts, Bloomberg reports.
The tax cuts' two-year extension, which Obama termed "an essential step on the road to recovery," arrives as Ireland prepares to accept the European Union's bailout of its debt-riddled banks.
The president's agreement "places less of an onus on monetary policy to actually stimulate the economy," David Forrester, a currency economist at Barclays Capital, told Bloomberg. He said Europe has "lots of disagreement among policy makers, which is creating more uncertainty."
Gold increased one percent to $1,428.55 per troy ounce and the Dollar Index slipped 0.3 percent. Silver's value increased 2.8 percent to $30.5475, its highest price in three decades. Copper also increased 2.8 percent to $9,014 per metric ton, another all-time high.
European finance ministers said aid for Portuguese and Spanish banks will not be immediate, nor will they increase the debt crisis fund currently valued at $1 trillion.
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