Gold at $1312 on Stronger Equities

Gold eased further from a two-month high on Monday on stronger equities and sluggish physical appetite, even as safe-haven demand from escalating violence in Iraq kept the metal above $1,300 an ounce.

Spot gold had eased 0.2 percent to $1,311.70 an ounce by 0158 GMT. The metal, which posted its best week in three months on Friday, rose to a two-month high of $1,321.90 in the previous session, although it closed down 0.5 percent.

With the higher prices, physical demand from top consumers China and India has been slow to pick up, adding to the gloom brought on by stronger equities. Asian stocks rose on Monday after Wall Street advanced to new highs and fanned risk appetite.

CNBC

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