Gold futures on the COMEX division of the New York Mercantile Exchange fell for its eighth successive trading sessions Friday as the U.S. dollar strengthened.
The most active gold contract for August delivery fell 6 U.S. dollars, or 0.49 percent, to settle at 1,216.70 dollars per ounce. Gold futures saw its lowest settlement price since Feb. 22, this year.
For the week, based on the most-active contracts, gold futures declined 2.89 percent. The U.S. Dollar Index rose against other major currencies on Friday. The index is a measure of the dollar against a basket of major currencies.
Gold and the dollar typically move in opposite directions, which means if the dollar goes up, gold futures will fall as gold, measured by the dollar, becomes more expensive for investors.
A report released by the U.S. Department of Commerce showed the gross domestic product gaining to an annualized growth rate of plus 0.8 percent for an increase of 0.3 from the initial estimate. Analysts noted that this was within expectations but the lack of weakness was a positive sign for investors and put pressure on the precious metal.
The U.S. Dow Jones Industrial Average also rose by 33 points, or 0.19 percent as of 19:00 GMT. Analysts noted that when equities post losses, the precious metal usually goes up, as investors are looking for a safe haven, while the opposite is true when U.S. equities post gains. U.S. Fed Chairwoman Janet Yellen also spoke after the market' s close on Friday, and investors are expecting her remarks to be factored in to the price of the precious metal after trading resumes after the long memorial weekend on Tuesday.
Silver for July delivery fell 7.40 cents, or 0.45 percent, to close at 16.269 dollars per ounce. Platinum for July delivery dropped 13.60 dollars, or 1.37 percent, to close at 982.20 dollars per ounce.
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