Gold Trims Weekly Gain on Tapering Bets as Syrian Tension Ebbs

Bloomberg, (30/8) -- Gold fell, trimming a fourth weekly gain, after better-than-expected U.S. economic data backed the case for the Federal Reserve to slow stimulus just as tensions over Syria eased, with U.K. lawmakers rejecting military action. Bullion for immediate delivery lost as much as 0.4 percent to $1,402.65 an ounce and was at $1,403.95 at 8:46 a.m. in Singapore. Prices are up 0.4 percent this week, a fourth advance in the best run since September, and are set to gain 5.9 percent this month. Gold for December delivery dropped 0.6 percent to $1,404 an ounce on the Comex, also paring a fourth weekly gain. U.S. gross domestic product expanded 2.5 percent in the second quarter, up from an earlier estimate of 1.7 percent, a Commerce Department report showed. While gold rallied on Aug. 28 to the highest since May on concern that the U.S. and its allies will launch a military strike in retaliation for Syria’s alleged use of chemical weapons, U.K. Prime Minister David Cameron yesterday lost a parliamentary vote sanctioning action.