Gold hits two-week high, dollar off four-week high

Gold futures rose in Asian trade to January 8 highs as the dollar index backed off December 24 highs, ahead of US data later today and amid concerns of a mysterious  pneumonia-linked virus in China. 

As of 04:34 GMT, gold futures due in February rose 0.65% to $1,567.40 an ounce, while the dollar index shed 0.05% to 97.58. 

Bank of Japan voted to maintain rates at minus 0.1% as expected while raising growth estimates for the first time in a year. 

Otherwise, Moody's cut its credit ratings for Hong Kong from AA3 to AA2, while the International Monetary Fund cut global growth forecasts for 2020 and 2021, pointing to persistent risks. 

The IMF warned from a recession due to inequality and financial strikes, noting current conditions are similar to the conditions in 1920s when the markets collapsed. 

Otherwise, news of a mysterious  pneumonia-linked virus in China that left several people dead has raised some concerns in the market especially before the new lunar year holiday.