Dollar Decline Boosts Gold

Diversified miner BHP(BHP Quote) moved higher by 3.3%.

Brazilian iron-ore producer Companhia Vale do Rio Doce(RIO Quote) surged 7.2% after the company said it would boost its dividend payout in 2007 to $1.65 billion, up 27% from $1.3 billion last year.

As for ferrous metals, Standard & Poor's sees a weaker steel market this year. Reduced consumption by automobile manufacturers and large consumer-held inventories will be critical factors for the industry, S&P says. Demand from nonresidential construction users should be a positive, the firm adds.