Gold was steady following its biggest weekly gain in two months as the market waited for more clarity on when the Federal Reserve would start cutting interest rates.
Bullion has largely held its ground this year despite investors pushing back expectations for how soon the Fed would start easing. Swaps markets suggest investors don’t see much chance of a reduction in borrowing costs until June. Lower rates are typically positive for gold, which doesn’t offer any interest.
The precious metal has likely drawn some support from a decline in the dollar after it reached a three-month on Feb. 13, which makes it cheaper for most buyers. It may also be attracting some haven demand as tensions in the Middle East remain high and Donald Trump moves closer to becoming the Republican candidate for US president.
Gold declined 0.2% to $2,030.62 an ounce as of 8:45 a.m. in Singapore after rising 1.1% last week. The Bloomberg Dollar Spot Index was steady. Silver, platinum and palladium all edged lower.
Source : Bloomberg
