Gold Edges Up From December Low With Focus on Stimulus, Dollar

  • Yellen to affirm commitment to market-determined dollar: WSJ
  • Bullion has been pressured lately by a stronger dollar
Photographer: Carla Gottgens/Bloomberg
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Gold edged up, recovering from an almost seven-week low, amid caution in markets as investors assessed the outlook for the dollar and the timeline for a U.S. stimulus package.

European equities and U.S. futures were under pressure. Global shares slipped last week after optimism about the $1.9 trillion U.S. aid package, and the so-called reflation trade, faltered into a long weekend, with U.S. markets shut Monday for a holiday. Bullion recovered from earlier losses “amid broad risk-off sentiment,” said Margaret Yang, a strategist at DailyFX.