Gold recovers after sluggish Chinese data puts pressure on Asian equities
Bengaluru — Gold prices recovered from a seven-month low on Monday, after sluggish GDP data from China weighed on Asian stocks and as the dollar traded below its recent highs.Spot gold was up 0.2% at $1,243.36/oz at 3.45am GMT, after marking the lowest since December 12 at $1,236.58 on Friday.US gold futures for August delivery were 0.2% higher at $1,243.40/oz.The dollar seesawed against the Chinese yuan even as official data on Monday showed China’s GDP slowed in the second quarter as expected. Against a basket of six major currencies, the greenback traded below a 10-day peak.A weaker dollar makes greenback denominated gold cheaper for holders of other currencies. "The CNH [Chinese yuan traded offshore] is a bit stronger versus the dollar and that’s giving gold some support this morning," a Hong Kong-based trader said.The absence of increased rhetoric out of Beijing or Washington at the weekend probably gave the CNH a bit of reprieve, the trader said, adding that technically gold ...
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