Gold under pressure on
Yellen's support for rate hikes
Spot gold was largely flat at USD 1,203 per ounce by 0100 GMT. The bullion hit an eight-week high of USD 1,218.64 on Tuesday, but fell 1
percent in the previous session as dollar strengthened.
Gold under pressure on Yellens support for rate hikes
Gold prices on Thursday held on to their losses from the previous
session, when they fell 1 percent on a strong dollar, after Federal
Reserve Chair Janet Yellen advocated lifting US interest rates
gradually
Spot gold was largely flat at USD 1,203 per ounce by 0100 GMT. The bullion hit an eight-week high of USD 1,218.64 on Tuesday, but fell 1
percent in the previous session as dollar strengthened.
US gold futures were down 0.7 percent at USD 1,203.50 per ounce.
With the US economy close to full employment and inflation headed
toward the Federal Reserve's 2 percent goal, it "makes sense" for the US
central bank to gradually lift interest rates. The US central bank should be able to raise rates "in a gradual and
patient manner," Dallas Fed President Robert Kaplan said on Wednesday.
US consumer prices increased in December as households paid more for gasoline and rental accommodation, leading to the largest year-on-year
increase in 2-1/2 years and signaling that inflation pressures could be
building.
With euro zone growth and inflation slowly picking up pace, the
European Central Bank is set to argue on Thursday that its extra-easy
policy stance is still needed to keep the recovery on course. China's economy likely grew by a steady 6.7 percent in the fourth
quarter, the same pace as in the previous three quarters, supported by
higher government spending and record bank lending that has stoked
concerns about debt risks, according to a Reuters poll of 62 economists
Japan's government could debate after April revising its target of
eliminating the primary budget deficit by 2021, two government sources
said, as infrastructure spending and a delay in the sales tax hike make
wiping out the deficit unlikely.
* The Philippines has cancelled the environmental permits of six more
companies, including four miners, Environment and Natural Resources
Secretary Regina Lopez said on Wednesday.
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