Gold prices declined for a fifth consecutive session on Friday. Its longest losing run since November last year, as the bullion’s appeal waned with a stronger dollar and more U.S. interest rate boost on the horizon.
Spot gold decreased 0.6 percent to $1,748.58 per ounce. It has hit its lowest since July 28 earlier in the session. U.S. gold futures eased 0.5 percent at $1,762.9.
Prices are down 2.9 percent this week, the most since the week of July 8, after posting gains in the previous four weeks.
“The main element pressuring gold and silver market is the resurgent dollar… Gold and dollar compete as safe-haven assets, higher U.S. interest rates suggest a stronger dollar, which will add further downside to gold,” senior analyst at Kitco Metals Jim Wyckoff stated.
The dollar index soared and was on track for a weekly gain. Dollar helps in making gold less attractive for overseas buyers.