Gold eases as dollar holds near highs

Gold fell yesterday as the dollar held near a multi-month high buoyed by interest from investors seeking cover from sliding stocks and by prospects for higher US rates.

Spot gold was down 0.1 per cent at $1,201.08 per ounce at 1251 GMT. Prices had slipped to their lowest since October 11 at $1,195.90 in the previous session. US gold futures were flat at $1,201.4 per ounce.

“The continuing dollar strength is weighing on gold. What people are doing is selling everything to buy the dollar and that includes gold,” said Alasdair Macleod, head of research at GoldMoney.com. (Reuters)