Gold Holds Overnight Gains U.S. Data Back In Focus

Gold held steady early on Tuesday as bargain hunters swooped in after the metal fell to near five-week lows, while investors wait to see how U.S. nonfarm payroll data due later this week will play into the timing of any rate hike.

 

* Spot gold was little changed at $1,323.26 per ounce at 0116 GMT. The metal had recovered from a near five-week low of $1,314.70 after a dollar run lost some steam late Monday.

 

* U.S. gold futures were flat at $1,327.30.

 

* Federal Reserve Chair Janet Yellen said on Friday the case for "an increase" in the policy rate has strengthened in recent months due to improvements in the labor market and expectations for solid economic growth.

 

* Friday's nonfarm report for August, as well as other data, could reinforce hawkish messages from Yellen and other Fed officials.

 

* Employers are expected on Friday to show 180,000 job gains in August, according to the median estimate of 89 economists polled by Reuters, below the better-than-expected 255,000 additions in July and 292,000 gains in June.

 

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