Gold Prices Hold Steady Close To One-Year Low On Dollar Strengthening

As the dollar remained resilient, the price of gold remained steady to a one-year low in Friday's trading session. The precious metal is all set to register a fall for the fourth consecutive week.

Dollar has been trading at a two-week high given the trade tensions between the US and China supported the US dollar currency. The domestic currency of the US also gained support from the strong US economic data as well as an outlook for monetary tightening with an increase in interest rate. Higher rates in the US economy, uplifts the sentiment for dollar currency.

And any sharp uptick in dollar weighs on investor's appetite for gold i.e. priced in US dollar terms.

For the week, the precious metal in international markets has lost close to 1.3 per cent in price and after reaching a low of $1205.95, last reached in July 2017 has only gained marginally to trade steady at $1,207.97 an ounce at 0330 GMT.

Meanwhile, U.S. gold futures were 0.3 percent lower at $1,216.20 an ounce in today's trading session.

In the domestic market, yellow metal of 22K was trading down by Rs. 170 per 10 gm at Rs. 28,900 while 24K was priced lower by Rs. 100 at Rs. 31,650.

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