Silver jumps to 3-1/2 month peak on weak dollar

Silver rose on Monday, extending gains for the fifth straight day, and hitting the highest level in 3 months and a half, as the US dollar fell against a basket of currencies, and strong safe-haven demand due to the escalation of protests and riot in the US.

Silver rose 2.5% to the highest since February 25 at $18.38, after it opened at $17.93, and hit an intraday low of $17.92.

Silver has gained 3.1% on Friday, posting the fourth daily gain on a weak US dollar.

The precious metal also gained 19.5% during May, its second monthly gain in a row, and the largest since August 2013, on strong safe haven demand, and increased retail purchases.

The dollar index fell against a basket of currencies by 0.4% today, to deepen its losses for the fifth straight day, hitting a 3-month low at 97.89 points.

The US dollar was weighed down by improved investors' sentiment as fears eased about the US-China tensions over Hong Kong.

Silver was also lifted by strong safe-haven demand, due to the escalation of protests and riot in the US after the killing of George Floyd.