Gold Climbs Back Above $1,330 on Economic Concerns

Gold rose 0.8 percent or $10.67 to $1,333.70 an ounce on Monday, after hitting a four-month high in trade earlier in the day, according to Reuters. As the dollar weakened and the U.S. economic recovery and China’s growth both showed signs of slowing, investors found the metal an appealing alternative to equities and currency.

“Fears about economic conditions in China and the U.S. are driving investors back into gold,” Quantitative Commodity Research owner Peter Fertig told Reuters. “We would have to wait for data for the month of March to get a clearer picture about the state of the U.S. economy… in the meantime gold should see some consolidation… the next pivot technical resistance stands at (the) Oct. 28 high of $1,361.”

U.S. gold futures for April delivery rose $10.20 an ounce to $1,333.90.