Gold rose on Tuesday as European stock markets fell and commodities picked up across the board, but prices remained range-bound as investors awaited clearer signals on the timing of an expected US interest rate hike. Spot gold was up 0.3 percent at $1,176.88 an ounce at 3:27 pm EDT (1927 GMT), while US gold futures for August delivery settled up $4 at $1,177.60 an ounce.
Gold fell to $1,162.35 on Friday, its lowest level since March 19, after upbeat data on US job openings bolstered expectations the Federal Reserve would lift interest rates for the first time in nearly a decade in September. That would raise the opportunity cost of holding non-yielding bullion, while boosting the dollar, in which it is priced.
"I still think the market is in sell-rally mode and will test lower levels once the rate hike appears to be a certainty," said Steve Scacalossi, director of TD Securities' Global Metals group in New York. Among other precious metals, silver was up 0.2 percent at $15.94 an ounce, while platinum rose 0.3 percent to $1,103.50 and palladium edged down 0.3 percent to $739.50.
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