World Economy

Gold Loses Its Glitter

Gold Loses  Its GlitterGold Loses  Its Glitter

Gold slipped to near 5-1/2-year lows on Friday and was on course for a sixth straight weekly fall, its longest retreat since 1999, after upbeat US economic data strengthened expectations for a near-term hike in interest rates. Bullion was also set to end July with its biggest monthly decline in more than two years after a deep rout last week further shook investor confidence, with more losses seen ahead, Reuters reported. The July 20 selloff saw gold trip more than 3%, encouraging more investors since then to trim their holdings that pulled the global spot benchmark to $1,077 days later, its lowest since February 2010. Spot gold was down 0.3% at $1,084.60 an ounce, and has dropped more than 1% for the week. Bullion has lost 7.5% so far for this month, its steepest since June 2013. Waning investment demand and weak physical appetite for gold in US also pose further downside risk for prices.