Gold prices rise for first weekly gain in four, as US dallies over tax reform
London — Gold prices rose on Friday and were set for their first weekly gain in four weeks as uncertainty over the passage of US tax reform pushed the dollar to a nine-day low against the yen. Two more Republican senators insisted on changes to tax-cut legislation, denting confidence that it will pass in its current form. "The US dollar is weakening a little and that’s benefiting gold," said Ronald Leung, chief dealer at Lee Cheong Gold Dealers in Hong Kong. Spot gold was up 0.4% at $1,257.76 an ounce at 11.48am GMT and set for a weekly gain of 0.8%. US gold futures were 0.3% higher at $1,260.50 an ounce. Gold touched a five-month low of $1,235.92 on Monday, but recovered after the US Federal Reserve raised interest rates for the third time this year on Wednesday. Rate rises usually put pressure on gold prices because they push up bond yields, reducing the appeal of non-yielding bullion, and tend to boost the dollar, making gold more expensive for holders of other currencies. Howeve...
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