Bengaluru — Gold ticked higher in Asian trade on Wednesday following recent steep losses, as markets waited on minutes from the November Federal Reserve policy meeting amid the expectation of an interest rate hike in December. Bullish homes sales data has added to signs of an improved US economic outlook, with federal funds futures implying traders are pricing in a 100% chance of a December rate rise, according to the CME Group’s FedWatch Tool. Spot gold rose 0.2% to $1,214.68/oz by 3.02am GMT. In the previous session, the metal eased 0.15%, hurt by strong equities. US gold futures rose 0.3% to $1,214.40/oz. "There is constant buying from India and China as prices have dropped considerably and there is no aggressive selling," a trader with a Chinese bank said, noting the metal had fallen more than $120/oz since November 9. However, analysts cautioned that higher interest rates and a more positive sentiment in equity markets could weigh further on gold prices.
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