Gold prices were in negative territory almost right through Thursday’s session, losing ground for a second successive day, as the dollar continued to hold firm amid a rise in new coronavirus cases in several states in the U.S.
Despite uncertainty about recovery amid spikes in virus cases in recent days, gloomy forecasts for the economy and the latest data showing a less than expected drop in jobless claims, gold prices languished in the red today.
The dollar index, which rose to 97.60 earlier in the day, gave up a good portion of gains and was last seen at 97.41, up 0.27% from previous close.
Gold futures for August ended down $4.50 or about 0.3% at $1,770.60 an ounce, after moving between $1,764.10 and $1,779.60 an ounce.
Silver futures for July gained $0.225 to settle at $17.895 an ounce, while Copper futures for July settled higher by $0.0125 at $2.6630 per pound.
Data from the Labor Department showed first-time claims for U.S. unemployment benefits dropped to 1.480 million, a decrease of 60,000 from the previous week’s revised level of 1.540 million. Economists had expected jobless claims to tumble to 1.300 million from the 1.508 million originally reported for the previous week.
A report released by the Commerce Department on Thursday showed the slump in U.S. economic activity in the first quarter was unrevised from the previous estimate. The report said real gross domestic product tumbled by 5% in the first quarter, unchanged from the estimate provided last month and in line with expectations.
Another report from the Commerce Department said new orders for U.S. manufactured durable goods spiked by 15.8% in May after plunging by a revised 18.1% in April. Economists had expected durable goods orders to surge up by 10.9% compared to the 17.7% nosedive that had been reported for the previous month.