Gold clings to third straight loss as strong dollar weighs in

Gold clings to third straight loss

Gold futures finished in the negative territory for the third time in most sessions on Thursday as a stronger dollar continued to weigh in on the prices of yellow commodity.

Back on Track

The most active contract, gold for June delivery, tumbled 0.7% and dropped $8.80 to close at $1 248 per ounce, the lowest finish since March 20 and following the losses recorded since Tuesday.

Gold futures for April delivery gave up $8.70 to settle at $1 245 per ounce while spot gold lost 0.46% to finish at $1 246.24 per ounce.

The losses suffered by the precious metal in the past trading days were driven by the resurging dollar and some political and economic uncertainties in US and in Europe.

The US dollar pulled off the much need rebound on Thursday to get back on track and climbed back above the 100-level after a 0.4% surge at 100.37. For the week, the greenback was up 0.6%, which kept investors away from the precious metal.

A couple of economic data also hounded gold futures as unemployment figures slipped 3000 to 258000 while a revised gross domestic product figures showed a 2.1% annualized pace in the final quarter.

Meanwhile, investors are still waiting for President Donald Trump to deliver his promises about economic reforms that will boost dollar and the economy, following the first legislative setback suffered by the Republican last week in the health care vote.

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