LONDON: Gold fell on Wednesday as equities rose 1 per cent and expectations for further monetary easing from the European Central Bank drove down the euro, prompting some investors to take profits after the metal’s rally to 13-month highs.
Outflows were seen from bullion-based exchange-traded funds after hefty inflows earlier in the year. The largest, SPDR Gold Shares, said its holdings fell 2.4 tonnes on Tuesday, its biggest outflow in nearly four weeks.
Spot gold was at $1,244.06 an ounce at 1446 GMT, down 1.3pc, while US gold futures for April delivery lost 1.4pc at $1,245.40 an ounce.
Gold tends to be pressured by rising US interest rates, which lift the opportunity cost of holding non-yielding bullion while boosting the dollar, in which it is priced. The Fed lifted rates for the first time in nearly a decade in December.
Silver was down 0.7pc at $15.24 an ounce, while platinum lost 0.3pc at $976 an ounce and palladium rose 0.8pc to $580.85 an ounce.
Courtesy : Dawn News