Gold at 1247 as Investors wait for US Stimulus Clues

Gold dropped on Monday, with investors jittery ahead of key U.S. data this week that could provide clues on when the Federal Reserve will begin scaling back its monetary stimulus.

Spot gold had fallen 0.3 percent to $1,247.73 an ounce by 0028 GMT, after posting its biggest monthly loss since June.

U.S. data including nonfarm payrolls, third quarter GDP and manufacturing PMI will be released this week, giving more insight into the strength of the economy.  A strong economic recovery could prompt the Fed to begin cutting back its $85 billion in monthly bond purchases soon. The central bank next meets on Dec. 17-18, when it could decide the fate of its stimulus.


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