(Updates with New York closing prices, market activity) By Atul Prakash LONDON, July 31 (Reuters) - Gold drifted higher on Tuesday as oil prices firmed and as stock markets steadied after a heavy sell-off last week, but investors remained cautious due to recent falls in bullion price. Spot gold rose as high as $668.70 an ounce before easing to $665.50/666.30 by 3:34 p.m. EDT (1934 GMT), compared with $664.60/665.40 late in New York on Monday and Friday's two-week low of $656.90. ...
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