Gold
retreated as the dollar traded near a five-year high before a European
Central Bank meeting today that may give indications on further
stimulus.
The
Bloomberg Dollar Spot Index was little changed before data due tomorrow
that™s forecast to show U.S. jobs growth and amid speculation ECB
policy makers will signal more stimulus. President Mario Draghi said
last month they are open to buying a wide variety of assets.
The
greenback has strengthened as the Federal Reserve considers raising
borrowing costs while other central banks take steps to spur growth. A
stronger dollar and higher U.S. interest rates reduce gold™s allure
because the metal generally offers investors returns only through price
gains.
Gold
for February delivery fell 0.5 percent to $1,202.20 an ounce by 7:18
a.m. on the Comex in New York. Bullion for immediate delivery declined
0.6 percent to $1,202.25 in London, according to Bloomberg generic
pricing.
Source : Bloomberg
