2017.07.2000:12:00UTC+00Gold Steady as Central Bank Meetings Eyed

Gold prices were steady early on Thursday, as the dollar firmed while markets await for clues on the stimulus programmes in the upcoming Japan and European Central Bank meetings.

Spot gold was nearly flat at $1,240.07 an ounce. U.S. gold futures for August delivery dropped 0.19 percent to $1,239.60 an ounce.

Expectations that U.S. monetary policy its on a tightening path has kept the precious metal enclosed into a narrow range in the previous quarter after a solid start to the year.

ING has a more optimistic view of gold prices as the year progresses. According to ING analyst Warren Patterson, "we believe a large part of the interest rate hike (and) monetary tightening expectations are already priced in, so we don't think that should weigh too much more on gold prices."

Holdings at the SPDR Gold Trust, the world's biggest gold-backed exchange-traded fund were down 0.65 percent to 816.113 tonnes on Wednesday from 821.45 tonnes the previous day.