Gold Rises From Multi-Month Llows As Dollar Weakens

Gold rose over 1 percent on Monday, recovering from a 9-1/2 month low in the previous session, as the U.S. dollar extended losses after touching a 14-year highs touched last week.

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  "A slightly weaker U.S. dollar saw gold prices recover some of the losses achieved earlier in the week. Buying also emerged as prices hit a key technical level," ANZ analysts said in a note.
                 Spot gold was up 1.05 % at $1,195.26 an ounce by 0252 GMT. The metal marked its lowest since Feb. 8 at $1,171.21 per ounce in the previous session.

U.S. gold futures rose 1.43% to $1,195.20 per ounce.
The dollar index, which measures the greenback against a basket of currencies, was down 0.76% at 100.720, after slipping 0.2 % in the previous session, as U.S. Treasury yields eased from recent peaks.

 

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.73% to 885.04 tonnes on Friday from 891.57 tonnes on Wednesday.

 

Spot gold is expected to bounce to resistance at $1,210 per ounce as it has found support at $1,172, according to Reuters technical analyst Wang Tao.

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