The price of gold was moving lower Monday morning as the U.S. dollar was trading firm amid a recent batch of upbeat economic data, which have dimmed hopes for further stimulus measures from the world's biggest economy.
Gold for December delivery, the most actively traded contract, eased $1.80 to $1,617.60 an ounce. Last week, gold settled flat amid some encouraging economic data from both sides of the Atlantic even as investors continued to weigh the probability of additional quantitative easing from central banks globally, which could help gold prices as such measures tend to fuel inflationary trends.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, moved up to 1,274.74 tons from 1,263.58 tons.
Meanwhile, the U.S. dollar was hovering near its two-week high versus the euro and ticking higher against sterling. The buck was steady around its 5-week high versus the yen and moving higher against the Swiss franc.
In economic news, euro zone construction output declined for the third consecutive month in June, Eurostat reported. In the construction sector, seasonally adjusted production dropped 0.5 percent from a month ago, when it fell 0.2 percent. Building construction was down 0.1 percent after staying flat in May. Likewise, civil engineering fell by 0.7 percent compared to a 0.5 percent rise in the prior month
The price of silver was ticking higher and platinum moved down in morning deals.
by RTT Staff Writer
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