Silver jumps more than 3% on falling dollar

Silver prices surged more than 3% on Monday, extending gains for the third straight day, as the US dollar fell against a basket of major currencies.

Silver prices rose 3.1% to $26.77 an ounce, after opening at $25.97 and hitting a low of $25.89.

The precious metal closed higher by 1% on Thursday, and posted the second straight daily gain as most of the dollar-denominated metals rose.

Silver prices lost 0.25% during the past week, due to profit-taking from a 3-month high of $27.40.

The US dollar index fell by 0.3% today, deepening its losses for the third day in a row against a basket of major currencies, which lifts the prices of gold and other dollar-denominated metals.

This came as demand for the US dollar slowed due to strong sentiment after the US passed a new fiscal stimulus package.

US President Donald Trump signed on Sunday the new $2.3 trillion aid package to ease the coronavirus impact and prevent a partial federal government shutdown.