LONDON — Gold edged back towards the previous session’s two-week highs on Friday and stayed on track for its biggest weekly gain in nearly two months, after the Federal Reserve sounded a cautious note on the pace of interest rate hikes.The Fed signalled an increasingly careful approach to future rate hikes after a policy meeting on Wednesday, reassuring investors who had feared the US central bank could move more quickly to tighten monetary policy. Gold is highly sensitive to rising US interest rates, as these increase the opportunity cost of holding non-yielding bullion, while boosting the dollar, in which it is priced.Spot gold was up 0.2% at $1,338.36 an ounce at 1400 GMT, and was more than 2% higher on the week, its best weekly performance since late July. The metal has been boosted by the Fed moving in a more dovish direction, ABN Amro analyst Georgette Boele said. "But in the end everyone realises that (a December hike) will likely happen, so it is too dangerous to push gold p...
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