Gold held firm near a two-week high on Tuesday, retaining gains from a four-day rally, as expectations grew that a hike in US interest rates could be pushed to September. Spot gold was little changed at $1,187.46 an ounce by 0706 GMT. The metal had climbed to $1,191.50 on Monday, its highest since March 6, as it rose for a fourth straight day.
Investors favoured bullion over the last few days as the dollar slumped after the Federal Reserve sounded cautious last week on the US economy and the pace of its rate-hike path. Gold, a non-interest paying asset, had been trending downwards on expectations of a near-term rate increase before the rally.
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