Gold price near 2-1/2-week low as US Fed meeting looms
Equities and other riskier assets have attracted investors over the past week or so, while gold lost some of its shine, as upbeat data from the world's key economies signalled that the economic recovery is gaining traction.
Some analysts, though, said the optimism might have gone ahead of itself.
"The situation in the U.S. has not changed too much and we need some time to really have confidence in the U.S. economy," said Yuichi Ikemizu, head of commodity trading, Japan, at Standard Bank, adding that Friday's U.S. employment data could shed light on the health of the economy.
The Fed has vowed to keep its rock-bottom interest rates until unemployment rate falls to at least 6.5 percent. In December, the unemployment rate held steady at 7.8 percent.
Anglo American Platinum, South Africa and labour unions have agreed to postpone a restructuring exercise that could lead to 14,000 job cuts to allow for more talks. The news sent spot platinum down 1.9 percent on Monday, its sharpest daily decline in more than a month.
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