Gold rises

Bengaluru

Gold prices held firm on Monday near 3-1/2 month highs hit in the previous session, with investors waiting for greater clarity on President Donald Trump´s economic policy.

Spot gold was little changed at $1,256.93 per ounce at 0701 GMT.

The metal hit its highest since Nov. 11 at $1,260.10 in the previous session.

U.S. gold futures were also steady at $1,258. "The biggest driver of gold has been the relatively weak U.S. dollar.

People think that Trump doesn´t want a strong dollar and the market thinks that perhaps there would not be a rate hike in the first half of the year," said Jiang Shu, chief analyst at Shandong Gold Group.

Investors are looking towards Trump´s policy speech to a joint session of Congress on Tuesday night where he is expected to provide clues on his plans to cut taxes.

"The momentum has its own driving force," said Shu.