Gold hits over 6-month high on growth fears, stock volatility-
Gold prices scaled a more than six-month peak on Thursday as worries about a global economic slowdown and volatility in equities boosted safe-haven buying, while a weaker dollar offered support.
Spot gold XAU= touched its highest since June 15 at $1,292.32 per ounce, and was up 0.4 percent at $1,289.10 at 0819 GMT.
U.S. gold futures GCv1 were up 0.6 percent at $1,291.20 per ounce.
“The weaker dollar lent some support for gold. People are more interested in gold as the stock markets are under pressure and are looking at gold as a safe haven,” said Peter Fung, head of dealing at Wing Fung Precious Metals in Hong Kong.
The dollar index .DXY fell over 0.2 percent. The Japanese yen JPY= , also a preferred asset during times of economic volatility, surged versus the U.S. currency on Thursday.
A softer dollar makes the greenback denominated bullion cheaper for investors holding other currencies.
Asian shares wobbled on Thursday, while U.S. stock futures fell after a rare revenue warning from index heavy-weight Apple Inc (NASDAQ:AAPL) added to worries about slowing global growth. MKTS/GLOB
Adding to investor concerns, a meeting between U.S. congressional leaders and President Donald Trump on Wednesday saw no sign of an agreement to end a partial government shutdown. in Britain’s dominant services sector reported the slowest sales growth in two years during the final three months of 2018, another sign of a dampening economic growth ahead of Brexit. will be looking for cues about interest rate hikes from a joint discussion between Federal Reserve Chair Jerome Powell and former Fed chairs Janet Yellen and Ben Bernanke on Friday.
Gold is highly sensitive to rising interest rates, which lift the opportunity cost of holding non-yielding bullion.
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