Gold slips to two-week low as investors favour dollar
The dollar remains a primary investment and, despite a fall in equities, there is no fear of a further fall, one analyst says
Bengaluru — Gold fell to a more than two-week low on Monday as investors preferred the safety of the dollar, with the currency underpinned by robust economic reports out of the US, even as geopolitical risks and trade tensions persist. Spot gold was down 0.2% at $1,274.51 an ounce at 10.25am GMT, having touched $1,273.22 for its lowest since May 3. US gold futures edged 0.1% down at $1,274.50. “The trend is bearish for gold. Money is going into equities and the dollar as well. Dollar remains a primary investment and, despite the fall in equities, there is no fear of a further fall, and that's also attracting investments,” said Jigar Trivedi, a commodities analyst at Anand Rathi Shares and Stock Brokers. The dollar index firmed near a two-week high, extending gains after strong US housing data and a report pointing to lower unemployment helped the US currency to mark its biggest weekly rise last week since early March. Renewed US-China trade fears have also helped the dollar to mimic...
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