London — Gold rebounded on Tuesday as investors anticipated signals on the direction of US monetary policy from the minutes of a November Federal Reserve meeting. Spot gold was up 0.2% at $1,279.62 an ounce, as of 11.05am GMT. The metal fell about 1.4% on Monday in its biggest one-day percentage drop since September 11. US gold futures for December delivery gained 0.3% to $1,279.30. "The Fed rate hike in December is roughly priced in and unless there are very hawkish minutes, it’s more that people are looking for direction about future moves," said Georgette Boele, a commodity strategist at ABN Amro. The minutes are due on Wednesday. A December interest-rate increase was already widely expected, analysts said. Gold was also profiting from a political crisis in Germany, Europe’s largest economy, boosting bullion’s safe-haven appeal. German Chancellor Angela Merkel said she would prefer a new election to leading a minority government after talks on forming a three-way coalition failed...
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