MANILA. — Gold was trapped in narrow ranges yesterday, struggling to move higher as investors looked to a near-term increase in US interest rates in the face of mostly firm economic signals. Gold ended a seven-week losing streak last week as China’s shock devaluation of its yuan helped spur some safe-haven bids. With the yuan since stabilising, market focus has shifted back to a looming hike in US interest rates. But investors could have fully discounted any rate increase this year, given the relative stability in gold prices, Wing Fung Financial Group’s head of research, Mark To, said.
“For one to two weeks, it’s going to oscillate around $1 100,” Mr To said. “I think the rate hike has already been discounted fully whether it happens in September or December.” —
Spot gold was flat at $1 117,80 per ounce by 2.55am GMT, after rising modestly on Monday. — Reuters.