Gold steady above nine-month low

Gold steadied on Tuesday after dropping to a nine-month low earlier as investors positioned for US economic data, with a strong dollar and bets for steep interest rate hikes still keeping a leash on non-yielding bullion, reports Reuters.
Spot gold was little changed at $1,733.00 per ounce by 1227 GMT after hitting $1,722.36 earlier in the session, its lowest since Sept. 30. US gold futures rose 0.2 per cent to $1,734.90.
The dollar index scaled a 20-year peak, making greenback-priced gold more expensive for buyers holding other currencies.
"Gold is set to stay significantly suppressed over the near-term, as the weight of more incoming super-sized Fed rate hikes hang like a millstone around gold's neck," said Han Tan, chief market analyst at Exinity.
"A higher-than-expected headline CPI print (on Wednesday) should pave the way for yet another 75 basis points hike by the Fed later this month; a scenario widely interpreted to be a negative for gold," Tan added.
However, offering some support for zero-yield gold, benchmark US 10-year Treasury yields dropped for a second consecutive session.
A raft of US economic data - including consumer prices, retail sales and factory output - should provide a glimpse of the extent to which inflation has peaked as the Federal Reserve moves closer to next week's policy meeting.
Meanwhile, the euro sank to within a whisker of parity with the dollar, and gold in euro trading around $1,726.00.
Gold is struggling to hold onto any gains and any upside "will likely be minor and hard fought," OANDA analyst Craig Erlam said.
Spot silver fell 1.2 per cent to $18.86 per ounce, platinum dropped 2.4 per cent to $848.90, and palladium shed 2.1 per cent to $2,117.59.