A stronger dollar has brought GOLD prices down from their one-week high after the ECB turned dovish and the focus shifts back to the US markets. At the time of writing, gold is trading at a little above $1,417.
Gold had gained 0.5% to trade at a little over $1,433 ahead of the ECB’s meeting, in anticipation that the central bank would cut rates. In addition, positive economic data releases from the US also reduced gold’s safe haven appeal.
In the US, weekly jobless claims fell to their lowest level in three-months during the previous week, while new orders for capital goods made in the US climbed 1.9% higher during June. Gold traders’ focus now shifts towards the upcoming Fed meeting on July 30-31 and whether the bank will cut rates.