Gold retreats

Bengaluru

Gold fell early on Monday after hitting its highest in over a year in the previous session, as the dollar recovered from last week´s lows and as lack of geopolitical developments dented safe-haven appeal.

Spot gold was down 0.8 percent at $1,335.10 an ounce by 0705 GMT. It rose to $1,357.54 on Sept. 8, the highest since Aug. 16, 2016. U.S. gold futures for December delivery were also down 0.9 percent at $1,339.40 an ounce.

“The major determinant of gold last week was actually geopolitical tensions, but over the weekend, we did not see any crisis triggering event so we´re going to have less chances for gold prices in the upward direction,” said Mark To, head of research at Hong Kong´s Wing Fung Financial Group.

The U.S. dollar won a reprieve from risk aversion on Monday and pulled away from last week´s 2-1/2 year low after North Korea held a party over the weekend rather than launch another missile.