Gold rises on political uncertainty in Europe and focus on US Fed meeting
London — Gold climbed on Monday as uncertainty created by elections in Europe fuelled investor interest, but the prospect of imminent rate rises later this week kept prices near the five-week lows touched last week. Spot gold was up 0.3% at $1,208.41 per ounce by 10.21am GMT. That compares with $1,194.55 last Friday, its lowest since January 31. US gold futures were up 0.6% at $1,208.10 an ounce. Investors were focusing on Wednesday’s Dutch parliamentary elections. The risk of a eurosceptic party coming to power in the Netherlands was small, but a strong election performance could renew concerns about the popularity of the far-right in French presidential elections in April and May. Wednesday would also be the second day of the US Federal Reserve’s two-day meeting. A decision to raise rates would boost the US currency, which makes dollar-priced commodities more expensive for nonUS firms, when it rises. "A rate rise from the Fed is pretty much priced in, we’re probably going to see t...
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