Daily Gold Update

Source: Marketwatch

New York— Gold futures rose 10 cents Tuesday after swerving most of the session amid low volumes, as investors seemed to be unable to make up their minds ahead an interest-rate decision in the U.S. and contract expiration later this week. A declining dollar stoked some gold buying in the last hour of floor trading, but most of gold's previous attempts to go higher were short-lived. Gold for August delivery, the most active contract, added 10 cents to settle at $1,240.80 an ounce on the Comex division of the New York Mercantile Exchange.

"It's a tug of war between bulls and bears," said Adam Klopfenstein, a trader and senior analyst at Lind-Waldock in Chicago. "We're basically unchanged ahead of the (Federal Open Market Committee) rate decision" on Wednesday, he added. George Gero, an analyst with RBC Capital, also noted that the Tuesday's inaction precedes contract expiration on Thursday and the meeting of the Group of 20 nations in Canada later over the week. The bullion market was also absorbing Monday's gyrations, when gold pushed close to $1,260 an ounce but ended up posting a 1.4% loss on the day. See full story.