MANILA, Aug 19 (Reuters) - Gold was steady in Asian trade on
Wednesday as investors awaited the minutes from the Federal
Reserve's meeting last month for clues on whether the U.S.
central bank would raise interest rates as early as next month.
FUNDAMENTALS
* Spot gold XAU= was flat at $1,116.80 an ounce by 0030
GMT, extending Tuesday's lethargic performance.
* U.S. gold for December delivery GCcv1 was also little
changed at $1,116.10 an ounce.
* U.S. housing starts rose to a near eight-year high in July
as builders ramped up construction of single-family homes,
bolstering the view that the Fed will hike rates in September.
* A recovering housing sector, a strengthening jobs market
and other upbeat economic signals show the U.S. central bank is
on track to raising interest rates this year. But some analysts
say it might adopt a gradual approach after the first hike after
China's shock devaluation of its currency last week.
* The imminent hike in U.S. interest rates would be the
first since 2006 and has dimmed the appeal of non-interest
bearing assets such as gold.
* Citigroup (NYSE:C) cut its gold price forecasts for this year and
next, citing weak economic conditions and fundamentals.
The bank lowered its 2015 average gold price forecast to $1,140
from $1,180 per ounce and for 2016 to $1,050 from $1,195.
* Miner and commodity trader Glencore GLEN.L is
considering closing its Eland platinum mine in South Africa due
to falling prices. ID:nL5N10T27F
* For the top stories on metals and other news, click
TOP/MTL or GOL
MARKET NEWS
* The dollar was trading near a one-week high versus a
basket of currencies, with bulls waiting for the Fed minutes as
well as U.S. consumer inflation data. USD/
* Asian shares struggled to move away from two-year lows
after big falls in Chinese shares the previous session raised
fresh fear about the stability of China's economy. MKTS/GLOB
DATA/EVENT AHEAD (GMT)
0800 Euro zone Current account Jun
1230 U.S. Consumer prices Jul
1530 U.S. Cleveland Fed CPI Jul
1800 Federal Reserve releases minutes of July 28-29 meeting