BENGALURU, Feb 13 (Reuters): Gold steadied on Wednesday as the dollar slipped from a two-month peak on hopes of a trade deal between the United States (US) and China, with the metal's gains capped by rising global stock markets.
Spot gold was up 0.1 per cent at $1,311.65 per ounce, as of 1108 GMT, while US gold futures gained 0.1 per cent to $1,314.60 an ounce.
"The fact that gold prices have been holding above the $1,300 level over the last few days is supporting the market and the US dollar index is somewhat weaker," said Commerzbank analyst Eugen Weinberg.
"Overall there is healthy demand from investors for gold."
The dollar steadied against its peers, easing off a two-month peak hit in the previous session, on hopes of a U.S-China trade truce. The currency has since last year been the preferred refuge for investors concerned about the dispute.
US President Donald Trump on Tuesday said he could see letting the March 1 deadline for reaching an agreement with China "slide for a little while," if the two sides were close to a complete deal.
Gold rose to its highest since late April at $1,326.30 on Jan. 31, but has lost ground since as the dollar rallied.
"I think there is a little bit of barging hunting in the market after gold retreated from the recent highs," Julius Baer analyst Carsten Menke said.
Gold steadies as dollar pauses
FE Team | Published: February 13, 2019 21:05:27
Gold steadies as dollar pauses
Share if you like