Bullion rose toward US$4,350 an ounce, as silver gained more than 1%.

While traders have flagged that metals could do well in 2026 on further US interest-rate cuts and dollar weakness, there’s near-term concern that broad portfolio index re-balancing may pressure prices.

Given the metals have rallied, their presence in indices may have exceeded target allocations, prompting passive tracking funds to sell some contracts.

“We expect a massive 13% of aggregate open interest in Comex silver markets will be sold over the coming two weeks, to result in a dramatic repricing lower,” Daniel Ghali, a senior commodity strategist at TD Securities, wrote in a note.

Gold gained 0.7% to US$4,348.42 an ounce at 8am in Singapore.

The Bloomberg Dollar Spot Index was flat. Silver advanced 1.5% to US$72.7175.

Palladium and platinum both gained nearly 2%.

Trading may be thin today given that several major markets, including Japan and China, remain on holiday.