LONDON: Gold prices rose towards $1,285 an ounce on Wednesday, recovering further from the previous week’s two-month low as stocks took a breather after a 2-1/2 week rally and the dollar index retreated from 13-month highs.

Spot gold was up 0.2 per cent at $1,284.20 an ounce at 1343 GMT, extending a recovery from last week’s low at $1,273.06, while US gold futures for December delivery were down 90 cents an ounce at $1,284.30.

Soft German economic data and corporate results helped arrest a rally in European stocks, which had climbed 6pc since Aug. 8, while the dollar index eased 0.2pc after hitting its highest in more than a year in earlier trade.

Published in Dawn, August 28th, 2014