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Gold Retreats as Equities, Dollar Rebound

Gold futures on the COMEX division of the New York Mercantile Exchange fell on Wednesday, after U.S. equities rebounded and the dollar strengthened.

The most active gold contract for December delivery was down 2.7 dollars, or 0.17 percent, to close at 1,549.10 dollars per ounce.

The Dow Jones Industrial Average climbed more than 200 points on Wednesday, reversing the downturn in the previous session. The S&P 500 and Nasdaq also followed Dow's rise.

When the stock benchmark indexes go up, the demand for safe-haven assets, such as gold, usually falls.

Meanwhile, the U.S. dollar index, a gauge of the greenback against a basket of other major currencies, was up 0.16 percent to 98.15 shortly before gold's settlement.

If the dollar strengthens, the dollar-priced gold usually falls, as it becomes more expensive for investors holding other currencies.

The fall of gold, however, was limited amid concerns over prolonged U.S.-China trade tensions, weak global growth and uncertain Brexit process.

As for other precious metals, silver for December delivery was up 15.8 cents, or 0.86 percent, to close at 18.456 dollars per ounce. Platinum for October delivery was up 40.70 dollars, or 4.69 percent, to settle at 908.90 dollars per ounce.

(www.chinaview.cn 2019-08-29)