Investing.com – Gold futures held steady on Thursday, after rising to a one-month high in the previous session, as a combination of a weaker U.S. dollar, mounting concerns over the U.S. economic recovery and ongoing fears over Greek sovereign debt supported prices.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,541.85 a troy ounce during late Asian trade, easing up 0.07%.
The gold contract traded between a range of USD1,538.55, the daily low and USD1,544.45, the daily high. Gold prices were less than 2.5% away from an all-time high of USD1,577.15 an ounce it hit on May 2.
Data on Wednesday showed that U.S. private-sector employment growth slowed sharply last month. Payroll processing firm ADP said U.S. non-farm payrolls rose just 38K in May, on a seasonally adjusted basis, far below expectations for an increase of 178K.
A separate report showed that U.S. manufacturing activity in May slowed to the lowest level since September 2009, fuelling concerns that the U.S. economic recovery is stalling.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.18% to trade at 74.76.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Meanwhile, ratings agency Moody's cut Greece's sovereign rating from B1 to Caa1, only four notches above the default level. The outlook on the new rating is negative, in a sign that another downgrade is likely in the short-to-medium term.
Elsewhere, silver for July delivery jumped 1.6% to trade at USD37.40 a troy ounce during late Asian trade, as investors sought a cheaper alternative to gold.
The U.S. Mint sold 3.65 million ounces of American Eagle silver coins in May, up 30% from April, the company said on its website on Wednesday.
Total silver coin sales through the first five month of 2011 stood at 18.9 million ounces, compared to 15.2 million ounces in the same period a year earlier.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,541.85 a troy ounce during late Asian trade, easing up 0.07%.
The gold contract traded between a range of USD1,538.55, the daily low and USD1,544.45, the daily high. Gold prices were less than 2.5% away from an all-time high of USD1,577.15 an ounce it hit on May 2.
Data on Wednesday showed that U.S. private-sector employment growth slowed sharply last month. Payroll processing firm ADP said U.S. non-farm payrolls rose just 38K in May, on a seasonally adjusted basis, far below expectations for an increase of 178K.
A separate report showed that U.S. manufacturing activity in May slowed to the lowest level since September 2009, fuelling concerns that the U.S. economic recovery is stalling.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.18% to trade at 74.76.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Meanwhile, ratings agency Moody's cut Greece's sovereign rating from B1 to Caa1, only four notches above the default level. The outlook on the new rating is negative, in a sign that another downgrade is likely in the short-to-medium term.
Elsewhere, silver for July delivery jumped 1.6% to trade at USD37.40 a troy ounce during late Asian trade, as investors sought a cheaper alternative to gold.
The U.S. Mint sold 3.65 million ounces of American Eagle silver coins in May, up 30% from April, the company said on its website on Wednesday.
Total silver coin sales through the first five month of 2011 stood at 18.9 million ounces, compared to 15.2 million ounces in the same period a year earlier.