 "Gold rises to 4-month high on doubts over US economy")
Bullion reversed early losses and rose to its highest in four months on Wednesday as data raised questions about the strength of the US economy, burnishing gold's safe-haven appeal.
Investors have poured back into the metal on worries about economic conditions in the United States and also China, which is now dealing with unprecedented growth in corporate debt.
Gold was up 0.22 per cent at $1,343.10 an ounce as of 0700 GMT after touching $1,345.35, its highest since late October. It had earlier hit an intraday low of $1,337.04.
"I guess a lot of people were expecting US interest rates to go up and gold to go down, but since the start of the year, what's happening is just the opposite," said Yuichi Ikemizu, branch manager for Standard Bank in Tokyo.
Gold, silver maintain upward march
Gold prices on Wednesday rose for the fourth straight day by adding Rs 135 to Rs 31,500 per 10g steady buying by stockists for the marriage season amid a higher global cues. Silver also extended gains for the fifth day by adding Rs 50 to Rs 48,300 a kg on increased offtake by industrial units. Traders said sentiment remained bullish as stockists increased their positions to meet the seasonal demand.
US gold was steady at $1,343.20 an ounce.
US home price gains slowed in December, according to a closely watched housing survey on Tuesday that underscored a loss of momentum in the housing recovery, while consumer confidence drifted lower this month.
An increase in holdings of bullion-backed exchange-traded funds highlights renewed investor interest in gold, but physical buyers in key consumers such as India and China could be waiting for a price correction.
"The phone starts ringing again after the price moves up, but I don't think this is related to physical buying," said a dealer in Singapore. "We've got selling from Indonesia because the rupiah is still weak."
Hong Kong's net gold exports to China fell 5.4 per cent to 89.745 tonnes in January from 94.847 tonnes in December, reflecting a slowdown in demand from record levels in 2013.
"There are people who are covering their short positions, but I don't see fresh buying on the physical side," said a physical dealer in Hong Kong.
Investors have poured back into the metal on worries about economic conditions in the United States and also China, which is now dealing with unprecedented growth in corporate debt.
Gold was up 0.22 per cent at $1,343.10 an ounce as of 0700 GMT after touching $1,345.35, its highest since late October. It had earlier hit an intraday low of $1,337.04.
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Despite recent gains, bullion remains well below an all-time high of around $1,920, struck in 2011.
"I guess a lot of people were expecting US interest rates to go up and gold to go down, but since the start of the year, what's happening is just the opposite," said Yuichi Ikemizu, branch manager for Standard Bank in Tokyo.
Gold, silver maintain upward march
Gold prices on Wednesday rose for the fourth straight day by adding Rs 135 to Rs 31,500 per 10g steady buying by stockists for the marriage season amid a higher global cues. Silver also extended gains for the fifth day by adding Rs 50 to Rs 48,300 a kg on increased offtake by industrial units. Traders said sentiment remained bullish as stockists increased their positions to meet the seasonal demand.
US gold was steady at $1,343.20 an ounce.
US home price gains slowed in December, according to a closely watched housing survey on Tuesday that underscored a loss of momentum in the housing recovery, while consumer confidence drifted lower this month.
An increase in holdings of bullion-backed exchange-traded funds highlights renewed investor interest in gold, but physical buyers in key consumers such as India and China could be waiting for a price correction.
"The phone starts ringing again after the price moves up, but I don't think this is related to physical buying," said a dealer in Singapore. "We've got selling from Indonesia because the rupiah is still weak."
Hong Kong's net gold exports to China fell 5.4 per cent to 89.745 tonnes in January from 94.847 tonnes in December, reflecting a slowdown in demand from record levels in 2013.
"There are people who are covering their short positions, but I don't see fresh buying on the physical side," said a physical dealer in Hong Kong.