COMEX Gold ends in the red for 4th day 30/05/2014

COMEX Gold ends in the red for 4th day
30/05/2014 17:55
Gold futures ended lower for the fourth day on the trot on Thursday as investors shunned the precious metal as mostly upbeat US economic data raised fears that the Federal Reserve will continue to trim its monthly bond buying program in the coming months, dimming the appeal of the bullion, a hedge against the inflationary risk of monetary stimulus. A rise in pending home sales and a dip in jobless claims signaled an improving US economic outlook. The US economy fell into contraction for the first time since 2011 as GDP contracted an annualized 1 per cent in the January-March quarter of 2014.

COMEX Gold ends lower as equities rise

COMEX Gold ends lower as equities rise

Gold futures closed lower on Tuesday as record high US equities dampened the demand for the precious metal as an alternative asset.
A stronger dollar dimmed the appeal of the bullion as an alternative asset. Stronger dollar makes gold more expensive for those holding other currencies, thus dimming demand.
However, rising tensions between Russia and Ukraine with pro-Russian separatists seeking to join Russia after referendums and the probability of further sanctions against Moscow boosted the safe haven appeal of gold, trimming losses in gold futures.
Gold futures for June delivery slipped 0.08 per cent to end at $1,294.8 an ounce on Tuesday.