Gold inches higher from over 4-month low as dollar weakens

Spot gold rose 0.1% to $1,809.41 per ounce by 0124 GMT

  
Gold bars are seen in the Austrian Gold and Silver Separating Plant 'Oegussa' in Vienna, Austria, December 15, 2017.

Gold bars are seen in the Austrian Gold and Silver Separating Plant 'Oegussa' in Vienna, Austria, December 15, 2017.

REUTERS/Leonhard Foeger

Gold prices edged up on Wednesday helped by a weaker dollar, though a robust appetite for riskier assets kept the safe-haven metal near a more than four-month low hit in the previous session.

FUNDAMENTALS

* Spot gold rose 0.1% to $1,809.41 per ounce by 0124 GMT. Prices hit $1,800.01 on Tuesday, its lowest level since July 17.

* U.S. gold futures were up 0.2% at $1,807.60.

* The dollar index eased 0.1% against a basket of currencies, making bullion cheaper to other currency holders.

* U.S. president-elect Joe Biden moved swiftly to make Cabinet choices after defeating President Donald Trump, who gave the go-ahead for Biden to start receiving daily intelligence briefings, a sign he has all but accepted the result. 

* Biden's formally approved transition and positive developments around a possible COVID-19 vaccine sparked a rally in U.S. equities with the Dow piercing the 30,000 level for the first time on Tuesday. 

* Investors now await the FOMC's minutes from its last meeting due at 1900 GMT for clues on the direction of monetary policy. 

* China's net gold imports via Hong Kong plunged about 84% in October from September's six-month peak, marking their steepest month-on-month decline since June, Hong Kong Census and Statistics Department data showed on Tuesday. 

* Holdings of the SPDR Gold Trust GLD , the world's largest gold-backed exchange-traded fund, fell 1.1% to 1,199.74 tonnes on Tuesday from 1,213.17 tonnes on Monday. 

* Silver rose 0.2% to $23.29 per ounce. Platinum fell 0.2% to $959.64, while palladium eased 0.3% to $2,340.61.

DATA AHEAD (GMT)

1330 US Oct. Durable Goods

1330 US Weekly Initial Jobless Clm

1500 US Nov. Consumption Adjusted MM

1500 US Nov. U Mich Sentiment Final

1500 US Oct. New Home Sales-Units

1900 US Federal Open Market Committee will release minutes from its November 4-5 policy meeting

(Reporting by Nakul Iyer in Bengaluru; Editing by Rashmi Aich) ((nakul.iyer@thomsonreuters.com; Within U.S. +1 646 223 8780, Outside U.S. +91 80 6749 0417; Reuters Messaging: nakul.iyer.thomsonreuters.com@reuters.net))

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