Gold futures settled higher for a fourth straight day Monday, after fluctuating for most of the day on hopes of further stimulus measures ahead of the European Central Bank and Federal Reserve policy meet later this week. Investors were also upbeat after the stand taken by the French and German leaders, and the ECB chief on protecting the eurozone.
Gold for August delivery, the most actively traded contract, gained $1.70 or 0.1 percent to close at $1,619.70 an ounce Monday on the Comex division of the New York Mercantile Exchange.
Gold traded at an intraday high of $1,625.80 an ounce and a low of $1,613.10 an ounce.
Last week, gold gained over 2 percent as eurozone worries after assurances from German Chancellor Angela Merkel and French President Francois Hollande to extend support to the euro at any cost, close on the heels of a similar pledge from European Central Bank President Mario Draghi.
The euro traded lower against the dollar at $1.2259 on Monday, as compared to $1.2298 late Friday in North America. The euro scaled a high of $1.2310 intraday and a low of $1.2226.
The dollar index, which tracks the U.S. unit against six major currencies, traded at 82.826 on Monday, up from from 82.343 in North American trade late Friday. The dollar scaled a high of 82.99 intraday and a low of 82.71.
In economic news, eurozone economic sentiment deteriorated in July with lower confidence in all sectors, data from the European Commission showed. The economic sentiment index came in at 87.9, down from 89.9 a month ago. The reading was also below expectations of 88.9.
Elsewhere, the Spanish economy in the second quarter contracted 0.4 percent quarter-on-quarter, but was in line with Bank of Spain estimates, data from the statistical office INE showed. Separately, the statistical office said Spain's harmonized inflation rose to 2.2 percent in July from 1.8 percent in June.
by RTT Staff Writer
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