Gold hunkered near its weakest since early 2014 on Tuesday, in the midst of its longest losing streak in seven months, as rallying stock markets diverted interest from safe-haven bullion.
Ahead of the latest European Central Bank policy meeting and key U.S. data this week, prices have fallen sharply since last week after breaking through $1,285 an ounce, the lower limit of a range they had kept to for much of the previous month. They hit a low of $1,240.69 an ounce earlier on Monday, their weakest since late January.
Spot gold stemmed early losses, trading around $1,247, while U.S. gold futures for August delivery also narrowly recovered, up $1.30 an ounce at $1,245. The ECB is tipped to announce a package of policy options after its meeting on Thursday, following heavy hints that monetary policy will be loosened in a variety of ways to support growth.