Gold bounces back from its 3-1/2-month peaks

On Wednesday, gold tacked on during European trading session, bouncing off a three-and-a-half-month minimum as market players looked ahead to more American economic data for indications on the probability of a December rate lift.

In New York, December delivery gold futures rose 0.3%, trading at $1,273.70 per troy ounce. The contract edged down to $1,268.60 earlier, a value, which hasn’t been observed since June 24.

Earlier, on Tuesday, gold prices slumped 3.28%, its greatest one-day percentage dip since September 2013, because the greenback climbed to a two-month peak and stocks ascended.

The USA is due to publish the ADP jobs news for September, with market experts expecting a revenue of 166,000 private sector payrolls, compared to the 177,000 print for last month.

The US dollar index, gauging the greenback's value against main six currencies, lost 0.1%, reaching 96.00 early on Wednesday.

A stronger greenback traditionally weighs on gold, because it dampens the precious metal's appeal as an alternative asset.

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