Gold sinks for seventh consecutive session

Gold futures on the COMEX division of the New York Mercantile Exchange slumped on Friday for the seventh consecutive session, as the dollar index jumped to nearly three-year highs and the latest data raised optimism about the U.S. economic recovery. The most active gold contract for June delivery fell 22.2 dollars, or 1.6 percent, to settle at 1,364.7 dollars per ounce. The precious metal has lost 109 dollars in the last seven sessions, amid gains for U.S. equities and the greenback, which have curbed gold's appeal for investors, according to market analysts. The U.S. dollar's appreciation over the past week also weighed on gold prices. The ICE dollar index, which measures the greenback's movement against six other major currencies, neared a three-year high on Friday, hitting 84.249 as against 83.758 on late Thursday. U.S. consumer sentiment perked up in May to its highest level in about six years, thanks to falling gasoline prices, a rising stock market and firmer housing prices, according to a survey released on Friday. The preliminary May reading of the University of Michigan/ Thomson Reuters consumer sentiment index jumped to 83.7 from 76.4 in April, the best reading since July 2007. Silver for July delivery fell 30.7 cents, or 1.35 percent, to close at 22.352 dollars per ounce