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Federal Reserve, Brexit in focus



Gold prices fell on Monday, as stock market gains condemned precious metal appeal ahead of a US Federal Reserve policy meeting this week.

Spot gold was down 0.2 percent at $ 1,299.13 per ounce at 0443 GMT.

US gold futures fell 0.3 percent to $ 1,299 an ounce.

The US Fed will begin its meeting on the interest rate on Tuesday, ending with a press conference on Wednesday.

"This could be an important meeting. We've seen the Fed take much more bold stance at the beginning of the year, and especially the races of stronger numbers we've seen," said Michael McCarthy, market democrat, CMC Markets.

"We Can see the Fed move back on their dovishness and keep a balanced risk approach, and if so, we can see a stronger US dollar and it can put pressure on gold prices. "

Gold, which does not yield dividends, tends to fall out of favor among investors when interest rates rise.

Investor's sentiment against gold is reflected in the decline in speculation in net length and a fall in inventory of SPDR Gold Trust , the world's largest gold-listed listed fund, on Friday [1

9659003] Dealers trimmed the net length position in COMEX gold a week until March 12 for a third straight week, said the US Commodity Futures Trading Commission (CFTC) on Friday.

"Gold prices are at a central level now, $ 1,290 and $ 1,310 are key support and resistance levels, "McCarthy said." One of the key drivers of gold is the strength of the US dollar, and the dollar is reverting to US-China trade negotiations. "

Investors Since last year the dollar has favored the US as a sanctuary against the US and China trade war. Markets have been on the edge, as a solution to the dispute takes longer than expected.

Laying pressure on bullion were gains in the stock markets.

"The noble metallic, which faces heads of risky assets, continues to show strong support among increased geopolitical uncertainties in today's period," said Phillip Futures in a note.

Investors are closely monitoring developments around Britain's departure from the EU. British Prime Minister Theresa May's government was scrambling on Sunday to get support in parliament for her third-time Brexit deal to ask.

Among other precious metals, palladium fell 0.5 percent to $ 1,551.94 per ounce, with a record high of $ 1,567.50 in the last session.

Spot silver was stable at $ 15.28 an ounce, while platinum was down 0.1 percent at $ 827.36.


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