Investing.com - Dismal E.U. economic growth figures released earlier sent gold prices falling on Thursday as investors sought safe harbor in the U.S. dollar, which normally trades inversely from the precious metal.
On the Comex division of the New York Mercantile Exchange, gold futures for April delivery were down 0.54% at USD1,636.15 a troy ounce in U.S. trading on Thursday, up from a session low of USD1,635.15 and down from a high of USD1,649.85 a troy ounce.
Gold futures were likely to test support USD1,626.05 a troy ounce, the low from Jan. 4, and resistance at USD1,653.75, Wednesday's high.
Eurostat, the statistical arm of the European Union, reported earlier that the eurozone's gross domestic product contracted by 0.6% in the fourth quarter of 2012 from the third quarter, well beyond expectations for a 0.4% quarterly decline and far surpassing g the previous 0.1% contraction.
The dip in total output represented the fastest rate of decline since 2009 and marked a third consecutive quarter of contraction.
The annualized GDP rate fell 0.9%, worse than expectations for a 0.7% contraction, after shrinking at an annualized rate of 0.6% in the previous quarter.
Quarterly French, German and Italian data painted similar pictures.
Germany’s economy, the eurozone’s largest, contracted by 0.6% in the in the fourth quarter, more than an expected 0.5% drop on declining exports and investment.
France’s economy also contracted more than forecast, with GDP contracting by a quarterly 0.3%, while Italy’s economy contracted by 0.9%.
Portugal was home to the worst performing economy in the region, with quarterly GDP contracting 1.8%.
Meanwhile in the U.S., the Department of Labor reported earlier that the number of people filing for initial unemployment assistance last week fell by 27,000 to 341,000, better than market calls for a decline of 8,000 to 360,000.
Jobless claims for the preceding week were revised up to 368,000 from a previously reported gain of 366,000.
Meanwhile on the Comex, silver for March delivery was down 1.86% and trading at USD30.295 a troy ounce, while copper for March delivery was down 0.27% and trading at USD3.732 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for April delivery were down 0.54% at USD1,636.15 a troy ounce in U.S. trading on Thursday, up from a session low of USD1,635.15 and down from a high of USD1,649.85 a troy ounce.
Gold futures were likely to test support USD1,626.05 a troy ounce, the low from Jan. 4, and resistance at USD1,653.75, Wednesday's high.
Eurostat, the statistical arm of the European Union, reported earlier that the eurozone's gross domestic product contracted by 0.6% in the fourth quarter of 2012 from the third quarter, well beyond expectations for a 0.4% quarterly decline and far surpassing g the previous 0.1% contraction.
The dip in total output represented the fastest rate of decline since 2009 and marked a third consecutive quarter of contraction.
The annualized GDP rate fell 0.9%, worse than expectations for a 0.7% contraction, after shrinking at an annualized rate of 0.6% in the previous quarter.
Quarterly French, German and Italian data painted similar pictures.
Germany’s economy, the eurozone’s largest, contracted by 0.6% in the in the fourth quarter, more than an expected 0.5% drop on declining exports and investment.
France’s economy also contracted more than forecast, with GDP contracting by a quarterly 0.3%, while Italy’s economy contracted by 0.9%.
Portugal was home to the worst performing economy in the region, with quarterly GDP contracting 1.8%.
Meanwhile in the U.S., the Department of Labor reported earlier that the number of people filing for initial unemployment assistance last week fell by 27,000 to 341,000, better than market calls for a decline of 8,000 to 360,000.
Jobless claims for the preceding week were revised up to 368,000 from a previously reported gain of 366,000.
Meanwhile on the Comex, silver for March delivery was down 1.86% and trading at USD30.295 a troy ounce, while copper for March delivery was down 0.27% and trading at USD3.732 a pound.