Bengaluru — Gold prices hit a two-week high on Monday as the dollar held near five-week lows reached in the previous session, finding support from the US Federal Reserve’s conservative guidance on the path of rate increases in 2017. Spot gold rose 0.4% to $1,233.60/oz by 3.10am GMT, after earlier touching $1,234.60/oz, its highest since March 6. US gold futures gained 0.3% to $1,233.90. The dollar index, which measures the greenback against a basket of currencies, was down 0.1% at 100.160, holding near Friday’s lows. "The dollar is weaker across the board in Asia and also against the euro. It’s pushing gold higher ... a pure technical buying," a Hong Kong-based precious metals trader said. "The market was geared for a hawkish FOMC [Federal open market committee] and the Fed was really dovish. There was a lot of short-covering. People are now putting gold back on the plate and are more comfortable." Spot gold was expected to test a resistance at $1,237/oz, a break above which could l...
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