Gold Eases as Dollar Offsets Consumer Boost

Reuters reported that weak signals of a better market for jobs caused gold prices to drop.

As quoted in the market news:

The spot gold price was last down 1.0 percent on the day at $1,660.49 an ounce by 1350 GMT, having come off an overnight high at $1,683.89, but was still set for a 1.4 percent gain this week, its strongest weekly performance in over a month.

VTB Capital analyst Andrey Kruychenkov said:

“The key here for gold is investors in ‘paper gold’ will stay away from the market, because they got burned because of having to put their money elsewhere to cover margin calls and the credibility of the euro is undermined, so they’re going back into the dollar.”

Click here to read the full Reuters report.