Gold climbed for a third day as North Korea’s first nuclear test in almost three years spurred demand for haven assets amid concern China’s slowdown is deepening. Gold gained as much as 0.5 per cent to $1,083.42 an ounce. The three-day rally was the longest run of gains since October 14. North Korea said it successfully tested its first hydrogen bomb, the fourth time it has detonated a nuclear device and a move that reignites tensions with neighbors. Gold rallied on Monday amid a global equity rout triggered by a selloff in China’s stocks and mounting tension between Saudi Arabia and Iran.
The focus will move back to the US as investors await Federal Reserve minutes and jobs data later in the day. The Fed is scheduled to release minutes from its December meeting, at which policy makers boosted borrowing costs for the first time since 2006.