Daily Gold Update

Source: MarketWatch

New York— Gold futures fell Thursday ahead of the three-day holiday weekend, marking a third weekly loss as upbeat results from Wells Fargo & Co. boosted investor interest in stocks, reducing gold's appeal as a safe asset. Meanwhile, crude-oil futures and base metals such as copper rallied, in hopes that an economic recovery will improve demand for those critical industrial commodities. Copper prices were at their highest level in more than five months. Gold for April delivery fell $2.60, or 0.3%, to end at $882.20 an ounce on the New York Mercantile Exchange. The front-month contract lost 1.5% this week. The more active June contract also fell Thursday, down 0.3% to $883.30 an ounce. Markets will be closed in observance of Good Friday.

Investment in gold exchange-traded funds also stalled. Holdings in SPDR Gold Shares, the biggest gold exchange-traded fund, stood at 1,127.37 tons Wednesday, unchanged for a fourth straight session, according to latest data from the fund. "The strength in the world equity markets has taken the safe haven bid out of gold," said Brian Kelly, chief executive officer of Kanundrum Research, a commodities and macro-economic-research firm. "The bullish sentiment towards the base metals is also weighing on gold," he added. "So for the short term, investor optimism is the reason I would cite for weaker gold prices." See full story.