Gold held gains in Asia on Friday on safe-have demand from China as borrowing by some major private firms to buy assets overseas comes under the scanner of the country’s bank regulator.
Reports overnight said China’s banking regulator had asked large lender to check credit risk profiles of several companies that had borrowed heavily in greenbacks to buy assets abroad. But details were sparse and there was no immediate indications on the extent of exposure. China regularly vies with India as the top importer of gold.
Gold futures for August delivery on the Comex division of the New York Mercantile Exchange rose 0.25% at $1,252.55 a troy ounce.