(Reuters) – Gold prices inched down on Monday after the dollar firmed on expectations of further U.S. interest rate hikes this year.
U.S. gold futures slipped 0.3 percent on Monday at $1,318.80 an ounce.
“January is usually a good month for gold prices and should remain so on the anticipation of physical demand ahead of the Chinese New Year,” said Stephen Innes, APAC head of trading, Oanda.
“While there could be some downside pressure from a possible U.S. dollar correction, gold will likely remain firm until a March Fed hike possibility comes on the radar,” Innes said.
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