Bengaluru — Gold on Friday steadied near a three-and-a-half-week low touched in the previous session, as investors opted for riskier assets amid a surge in US equities and the expectations of an interest rate increase by the Federal Reserve later this month. Spot gold was flat at $1,274.34/oz at 4.57am GMT. On Thursday, it fell 0.7% to touch its lowest since November 6 at $1,270.11. The metal is down 1% for the week. US gold futures were nearly unchanged at $1,273.60. "There is a positive mood in the equity market. The US dollar has been strong too [overall]. So, it is not beneficial for investors to invest in the commodity market now," said Dick Poon, general manager at Heraeus Metals Hong Kong Limited. "People are focusing on stocks in the short-term and are also awaiting an interest rate hike by the US Federal Reserve." Higher interest rates tend to boost the dollar and push bond yields up, putting pressure on gold prices by increasing the opportunity cost of holding non-yielding...
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