Gold Ends Higher, Logs Best Streak Of Gains In 2 Months

By Markets MarketWatch Pulse

Gold futures turned higher Tuesday to register modest gains but that was enough to mark the best stretch for the yellow metal in about two months. June gold closed $2.90, or 0.2%, higher at $1,290.90 an ounce. Tuesday's gain marks four straight sessions of climbing prices--its longest stretch of advances since the period ended Feb. 9, when gold gained for five sessions in a row, according to FactSet data. Gold prices shrugged off a rally in stocks and crude oil to rise as metal's traders focused on weak corporate quarterly results and a bleak outlook for global growth offered by the International Monetary Fund. Late Monday, Alcoa Inc. reported better-than-expected first-quarter results but delivered a poor outlook for earnings. On Tuesday, the IMF lowered its estimate for global growth, cutting its estimate to 3.2% in 2016 from 3.4%. The IMF also cut its growth estimate for the U.S. to 2.4% in 2016 from an earlier estimate of 2.6%. Stephen Kalayjian, chief market technician, at trading tech firm Knowvera, described that environment as perfect for gold, which is viewed as a safe-harbor asset for investors in times of global uncertainty. "I think there are a lot of positives for gold, right now," he said.

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