Daily Gold Update

Source: Marketwatch

San Francisco— A late-hour wave of selling dropped gold futures to their lowest settlement since mid-May, less than a dollar above $1,500 an ounce. Gold for August delivery declined $19.60, or 1.3%, to settle at $1,500.90 an ounce on the Comex division of the New York Mercantile Exchange. That was the poorest settlement since May 19, when gold closed at $1,492.40. The decline was �follow-through selling after yesterday�s strong drop,� said Brien Lundin, with the Gold Newsletter. �The dour economic news recently, combined with dwindling hopes for any further quantitative easing in the near term, are weighing heavily on the metals.�

Gold prices dropped more than 2% on Thursday as commodities sold off after news that the U.S. and other International Energy Agency members will make oil available from strategic reserves to partially counter loss of Libya�s crude. Read about Thursday�s drop in gold prices. U.S. stocks opened lower, and losses for equities mounted as the trading day progressed. Besides the IEA announcement, Thursday also brought the announcement of a longer-term plan to support Greece. See full story.