Gold edges down as dollar firms and risk appetite improves
SPDR gold holdings are down 2.7% for the year as platinum realises its largest surplus since at least 2013
Bengaluru — Gold edged lower on Wednesday, holding near a five-week low as a firm dollar and improved appetite for riskier assets dented the appeal of bullion, while investors awaited further clarity on the US-China trade dispute. Spot gold was down 0.1% to $1,285.41 an ounce at 11.29am GMT, close to its lowest since January 25 at $1,280.70 hit in the previous session. US gold futures were up about 0.2% at $1,286.80. “The recovery of the dollar is a negative element and the general risk-on sentiment is not particularly good for gold,” said ActivTrades chief analyst Carlo Alberto De Casa. “The main [equity] market driver has been the optimism surrounding trade talks between the US and China.” The dollar hovered near a two-week high hit in the previous session, making gold more expensive for holders of other currencies. Global equities have staged a remarkable comeback in the first two months of the year, rising about 16%, indicating a marked improvement in demand for riskier assets. ...
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