Gold falls as the dollar firms and investors brace for Brexit vote
The markets await vote on Brexit deal later in the day with palladium continuing to trade at premium to gold
Bengaluru — Gold fell on Tuesday as the dollar gained due to weak German economic data weighing on the euro, while investors turned their attention to a parliamentary vote on the British government’s plan to exit the EU. Spot gold fell 0.2% to $1,289.39 an ounce at 10.55am GMT, while US gold futures slipped 0.2% to $1,289.20 an ounce. ActivTrades chief analyst Carlo Alberto De Casa said the dollar’s strength was pressuring gold. “Gold is still in a lateral range ... unable to move above $1,300 or fall below $1,276.” The dollar was bolstered by weakness in the euro, which fell to a five-day low as the continent’s largest economy struggles with weaker global demand and trade disputes. Also hurting the metal was a recovery in equities, which strengthened after Beijing signaled more supportive measures to stabilise a slowing economy, and emphasised that China is seeking a strong start in the first quarter. However, the outlook for global growth has been clouded by weak economic data dam...
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