Gold slumps to three-week low as investors turn their attention to equities
The precious metal, which is considered a safe bet, lost some ground as positive data out of China eased investor concerns
Bengaluru — Gold prices slipped to a more than three-week low on Tuesday as waning global economic slowdown concerns lifted the dollar and equity markets. Spot gold was flat at $1,286.85/oz by 3.32am GMT, after touching its lowest since March 8 at $1,285.80 earlier in the session. US gold futures were down about 0.2% at $1,291.30/oz. “Concerns we saw emerge in the past few weeks around economic growth have certainly eased and that shift [in sentiment] in the past day or two resulted in a little bit of selling in gold market,” ANZ analyst Daniel Hynes said. “Most of the global growth is coming from China and the [Chinese] data over the weekend eased those concerns.” Strong manufacturing data from the US and China triggered a massive sell-off in the US bond market, which in-turn lifted Asian equities to seven-month highs. The dollar index, which tracks the currency against key rivals, was trading close to a three-week high posted on Monday. A stronger dollar makes gold expensive for h...
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