Gold intermarket: catches a bid on soft US dollar

Gold was up on Monday, with bulls fighting back after technical supply put them under pressure at the start of the week,

The DXY is softer and allowing for gains in the commodity sector while we await the minutes of the FOMC. Spot is trading at $1,341 with support at $1,335 after dropping from Friday's close of  $1,343.20 an ounce and below the key and psychological  $1,350-an-ounce level having been dropping for four out of the five past weeks so far. However, as markets look ahead and continue to discount a Sep rate hike form the Fed and with the elections in the US towards the end of the year, Gold could find support on the uncertainty and lack of monetary policy assertiveness from the Fed who have so far only hiked interest rates once in 2016 vs the previously expected number of incremental rate hikes for this year. 

Calendar and latest results so far with weak Empire States Manufactiring and in-line US housing data.