Gold futures trade slightly higher in early trades on Monday, whetted by the safe haven bullion appeal of the bullion with the Russia-Ukraine geopolitical tensions, and on hedge appeal with the soaring inflation rates. However, the approaching Federal Reserve policy meeting on Wednesday raised bets over interest rate hike and tightening the monetary policy, capped some gains in the bullion. Higher interest rate dulls non-yielding yellow metal’s investment appeal. Gold for the most active contract registered 5.7% gain for the week.
Gold futures for February rose by 0.2% to $1,834.70 an ounce on the Comex division of the New York Mercantile. While, spot gold was flat at $1,833.36 per ounce.