Gold erased earlier losses yesterday as investors covered short positions ahead of a European Central Bank meeting, but improved risk appetite on hopes of a thaw in US-China trade tensions limited the bullion’s advance.
Spot gold gained 0,4 percent to $1,503 per ounce at 0807 GMT. US gold futures rose 0,5 percent to $1,510.80 .
“Investors are now waiting for the ECB meeting, and US CPI data is expected to come negative . . . We may see some upside in gold,” said Vandana Bharti, assistant vice-president of commodity research at SMC Comtrade, adding that there was some short covering in the market.