• Gold prices fell on Thursday as the dollar inched up from multi-month lows and as signs that the U.S. economy was strengthening turned investor focus on to risk assets.
Spot gold fell 0.3 percent to $1,262.85 per ounce as of 0600 GMT.
• Wall Street's Dow Jones Industrial Average broke the 22,000-barrier for the first time in its 121-year history, and is on track for a sixth straight record close. It has risen 11 percent in 2017.
• "I think the global economic strength we've seen, especially from the U.S. numbers and the very strong equity prints last night, were much more dominant in influencing (gold) prices than (the ongoing) geopolitical concerns."
• On Wednesday, a report by a private payrolls processor showed that U.S. private employers added 178,000 jobs in July, below economists' expectations, although payroll gains in June were revised up to 191,000 from an originally reported 158,000 increase.
• "I think the markets are actually looking more closely at the revised June figures in the ADP jobs data more than the lower-than-expected July numbers," OCBC's Gan said.
• Global demand for gold fell 14 percent in the first half of this year due mainly to a sharp decline in purchases by exchange traded funds, the World Gold Council said.
• Spot gold may retest a support at $1,258 per ounce, a break below which could cause a loss to the next support at $1,247.
These supports are identified respectively as the 23.6 percent and the 38.2 percent Fibonacci retracements on the uptrend from the July 10 low of $1,204.45 to the Aug. 1 high of $1,273.97.
A five-wave cycle from $1,204.45 has completed, as confirmed by its wave structure, the drop from $1,273.97 and the bearish divergence on the hourly MACD. At least, gold may retrace to $1,247.
• A further gain from the current level may be limited to $1,269, according to Reuters technical analyst, Wang Tao.
• Silver fell 0.2 percent to $16.52 per ounce after touching its highest since June 29 in the previous session.
Reference: Reuters
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