Gold holds its ground as the dollar gains on Brexit turmoil
Further gains are likely if gold holds above $1,210 an ounce; silver moves up from multi-year lows
Bengaluru — Gold held steady on Thursday as the dollar regained momentum after Britain’s Brexit agreement was thrown into turmoil, offsetting limited interest in the metal from investors seeking cover from the political fallout. Spot gold was unchanged at $1,211.21 an ounce at 10.57am GMT. Prices rose 1% in the previous session. US gold futures were up 0.1% at $1,211.60 per ounce. The dollar index jumped, making bullion less attractive for holders of other currencies, after Britain’s Brexit deal with the EU was plunged into chaos. However, some safe-haven demand flowed into gold, a traditional store of value during times of political and economic uncertainty, as stock markets declined. “We have seen some resignations from the British cabinet ... so that uncertainty is offering some support to gold prices in the immediate term,” ING analyst Warren Patterson said. “We will find very good support at $1,200 but will struggle to break up above $1,250 in the near term.” Just more than 12 ...
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