Chicago - XINHUA
Gold futures on the COMEX division of the New York Mercantile Exchange dropped slightly Friday on a stronger dollar.
As the U.S. dollar climbed against most major currencies Friday amid global equity sell-off, the most active gold contract for June delivery dipped 1.5 U.S. dollars, or 0.11 percent, to settle at 1,319 dollars per ounce. Gold prices, however, scored a gain of around 1.2 percent for the week.
Upbeat economic data released Friday also dampened gold. The overall consumer-sentiment gauge from the University of Michigan and Thomson Reuters rose to a preliminary reading of 82.6 in April, the highest since July.
U.S. Labor Department said that U.S. producer price index rose a seasonally adjusted 0.5 percent after falling slightly in February, the largest increase since last June.
Gold has swung sharply so far this year. It has risen by nearly 200 dollars an ounce from January to mid-March before giving up half of the growth in the past two weeks.
Against the backdrop of higher bond yields, a stronger dollar, and low inflation, the outlook of gold fundamentally remains negative. But some market analysts think gold is already close to undervalued levels.
Silver for May delivery dropped 14.5 cents, or 0.72 percent, to close at 19.946 dollars per ounce. Platinum for July delivery rose 2.5 dollars, or 0.17 percent, to close at 1,462.6 dollars per ounce.