Futures & Commodities

Gold ends higher on Ukraine woes; logs weekly gain

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Gold settled above $1,300 on Friday, after hitting its weakest level in 2-1/2 months the day before, as violence in Ukraine weighed on equity markets and the dollar.

Ukrainian forces killed up to five pro-Moscow rebels on Thursday as they closed in on the separatists' military stronghold in the east, and Russia launched army drills near the border in response, raising fears its troops would invade.

Chart: Precious Metals

for June delivery settled 0.8 percent higher at $1,300.80 an ounce, up 0.5 percent on the week.

was rose 0.5 percent to $1,301 an ounce. It hit a 2-1/2 month low of $1,268.24 on Thursday amid firmer equities and a weaker technical picture, before regaining strength due to renewed tensions between Moscow and Western powers over Ukraine.

The metal remains in a fragile situation as interest from long-term investors is still absent, analysts said.

The fell 0.1 percent versus a basket of currencies, while European shares struggled due to the heightened tensions in Ukraine.

Gold tends to hold an inverse relation with equity markets, as investors seek refuge from riskier assets in times of political or financial troubles.

Investors were now eyeing next week's U.S. Federal Reserve Open Market Committee's meeting on interest rates for trading cues.

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