Gold settled higher on Monday near an earlier one-month high, with a rally sparked by last week’s weak U.S. jobs data running out of steam as analysts predicted the Federal Reserve will continue tapering monetary stimulus.
Prices earlier broke above tough chart resistance to hit $1,255.30, their highest since Dec. 12, as some interpreted Friday’s reading of the jobs market as strengthening the case for the Fed to keep interest rates low for longer.
Gold later eased as the market digested the report, and as physical demand in China, now the world’s biggest bullion consumer, dropped off after the price rally.
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