Gold Holds on After Weak Europe Data Kindles Concerns Over Global Growth

Gold steadied on Thursday as weak manufacturing data from Europe kindled some concerns over global growth, but bullion held near a 4-month low, pressured by gains in the US dollar on data showing robust US retail sales.

Spot gold was up 0.1 per cent to $1,275.39 an ounce as of 8.12 pm (IST), having fallen to its lowest since December 27 at $1,270.63 earlier in the session. US gold futures rose 0.1 per cent to $1,277.50. The metal has so far lost more than 1 percent in the holiday-shortened week and was on track for a fourth straight weekly decline.

“Gold is up slightly on short-covering for the weekend and on weak manufacturing news from the euro zone, but it’s barely holding today because the dollar index is over the 97 mark and retail sales were uninflationary,” said George Gero, managing director at RBC Wealth Management.

Courtesy: Reuters