opes of stimulus measures keep gold investors’ mood up
* Spot gold neutral in $1,605.2-$1,627/oz range – technicals
* Coming up: EZ GDP flash estimate, Q2; 0900 GMT
(Adds details, comments; writes through; updates prices)
By Rujun Shen
SINGAPORE, Aug 14 (Reuters) – Gold rose on Tuesday, tracking
a firm euro, as a slightly better-than-expected growth data from
Germany and France helped ease concerns about the two biggest
economies of the euro zone.
Bullion was also aided by hopes that central banks from the
United States, Europe to China will launch stimulus measures to
buoy their economies, which will boost the inflation outlook and
lure investors to gold, seen as a good hedge against inflation.
Spot gold rose 0.4 percent to $1,615.20 an ounce by
0736 GMT, after losing 0.6 percent in the previous session.
U.S. gold futures contract for December delivery
inched up 0.3 percent to $1,617.80.
“There is the perception of central bank easing, but there
is also the risk that people may be disappointed,” said Nick
Trevethan, senior commodity strategist at ANZ in Singapore,
adding that the U.S. Federal Reserve might save the quantitative
easing tool for more dire economic conditions.
“These stimulus measures have a diminishing effect. Are you
going to waste the last bullet until it is absolutely necessary?
Market participants are now wa