Gold Rises to $1,260 an Ounce on Lower Equities

Gold rose 0.7 percent or $8.82 on Tuesday to trade at $1,260 per ounce, according to Reuters. Equities were generally lower, prompting this rise, but a stronger dollar limited the metal’s gains.

“The big action for gold was on Thursday, when gold managed a strong rebound after being under pressure but since then it has been (struggling) to edge above $1,250, indicating there is no conviction from investors,” ABN Amro analyst Georgette Boele told Reuters. “This level is not there to stay and gold will get renewed pressure from stronger U.S. data.”

U.S. gold futures gained 0.6 percent or $7.56 to trade at $1,261.40 an ounce, according to NASDAQ.