Daily Gold Update

Source: Marketwatch

New York— Gold futures fell slightly on Friday, as the dollar rallied on the back of strong U.S. economic-growth and consumer-sentiment reports, reducing the value of the precious metal as a hedge against weak currencies. "The strong dollar has been the primary catalyst for the sell-off in gold," said Bill O'Neill, managing partner at Logic Investment Services.

The dollar rallied after the government reported that gross domestic product grew at the fastest pace in six years in the fourth quarter. A stronger dollar has tended to pressure gold and commodities. Gold for April delivery finished down $1, or 0.1%, at $1,083.80 an ounce at the New York Mercantile Exchange. The precious metal fell 0.6% over the past week, and lost 1.2% in January. Also lifting the dollar, the euro came under continued pressure on worries about Greece's handling of its debt, according to RBC Wealth Management. Over the past year, investors have used the safety of the cheap dollar, which can be borrowed at near zero interest rates. See full story.