Gold was little changed on Monday as a sell-off in equities increased the safe-haven appeal of the yellow metal, with expectations of a rate hike this month by the US Federal Reserve keeping gains in check. Spot gold held steady at $1,329.60 an ounce at 0653 GMT. US gold futures edged 0.1 percent lower at $1,328.30 an ounce.
A chorus of hawkish comments from Fed officials kept hopes alive for a September rate hike despite a recent spate of disappointing economic data, including only a modest rise in US nonfarm payrolls.
"A pick-up in focus on the Fed speakers certainly means that every word will be closely analysed. It is going to create a little bit of volatility going forward," ANZ analyst Daniel Hynes said.
"Expectations are increasing about a potential hike in rates this September. That alone will see investors reduce their long positions over the coming days."
After Boston Federal Reserve President Eric Rosengren spoke on Friday, odds on a rate hike in September rose to 30 percent probability from 24 percent before his comments.
"We expect gold to continue to be under modest pressure, especially if expectations about a September Fed rate move continue to become more firmly entrenched," INTL FCStone analyst Edward Meir said in a note.
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