Gold is slightly higher in Asia-Pac trade,.....>

GOLD: Gold is slightly higher in Asia-Pac trade, the yellow metal last up $1.36

at $1,308.80, but holding near lows after declining yesterday. Gold dropped

around $15/oz to hit lows of $1,304.71 yesterday as risk on sentiment continued

in the US, with equity indices continuing to make gains at record highs. Gold

has hit the lowest levels so far this month amid continued signs of US economic

growth and growing expectations that the FOMC will being the process of running

off the balance sheet at their meeting on Wednesday this week.

- Gold will likely remain supported ahead of the FOMC meeting, while further US

military drills with South Korea underscore that the situation with North Korea

is still ongoing and will also likely reduce downside for gold. US President

Trump is said to have spoken with Chinese President Xi yesterday and the two

agreed to keep pressure on North Korea.

- MNI technical analysis sees support at $1304.6 - Low Sept 18, resistance is

seen at $1310.2 - Hourly support Sept 18 now resistance. Bears need a close

below this level to confirm focus on 55 & 100-DMAs ($1266.1-1278.8). Daily

studies are well placed for a fresh leg lower.