Gold prices recede as the dollar rises

Gold prices fell on Friday on the strength of the dollar, but the bullion remained above the fundamental level of technical support of $ 1,750 and on the way to a small weekly gain, as concerns about rising inflation and growth they hurt interest in risk.

At 0915 GMT, spot gold was down 0.2% at $ 1,753.67 an ounce, while US gold futures were down 0.2% at $ 1,754.30.

The dollar remained near its highest level of the year, making gold more expensive in other currencies.

But bullion was up 0.2% on the week as a pullback in the dollar on Thursday helped it bounce around 2%.

“Although it does not seem like it (…), gold has had an extraordinarily strong week“Considering the strong movements of the dollar and yields, the”normal negative drivers“Saxo Bank analyst Ole Hansen said.

“With energy prices rising due to a crisis in China and Europe likely to affect growth and earnings, there will be a volatile October supporting gold.Hansen added.

Putting a floor on gold, European stocks fell after a slide on Wall Street and Asia on expectations that euro zone inflation could rise amid a slowdown in economic growth.

Silver was up 0.1% to $ 22.22 an ounce, platinum was up 0.2% to $ 965.11, while palladium was down 0.6% to $ 1,898.55.