Gold prices retreated on Wednesday as the U.S. dollar strengthened and as stocks across the globe mostly advanced, suggesting some waning appetite for bullion.
However, gold trading of the past several days has been erratic, with the commodity sometimes trading out of sync with its normal correlations with equities and bond yields, which have both been rising over the week—a scenario that should create a headwind for precious metals.
On the day, August gold was off $12.80, or 0.7%, at $1,723.90 an ounce, on Comex, after the metal rose 0.5% on Tuesday, notching its first gain in three sessions. Gold futures have been trading in a $1,670 to $1,770 range for about two months despite a sharp fall in the U.S. dollar against major currencies in that time.
July silver meanwhile, was trading little-changed at $17.650 an ounce, following a 1.5% rally in the previous session.
For the week thus far, gold is off 0.8%, while silver has risen 0.9%, according to FactSet data.
Source : Marketwatch