(RTTNews) - The price of gold was trading above the $1,700-mark Thursday morning for the first time since early March as traders await cues from the ECB meeting later today.
Gold for December delivery, the most actively traded contract, gained $17.00 to $1,711.00 an ounce. Yesterday, gold settled near its six-month high as investors await the outcome of European Central Bank meeting Thursday on additional quantitative easing measures.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were unchanged at 1,293.14 tons.
Meanwhile, the U.S. dollar was lingering around its two-month low versus the euro and near a four-month low against sterling. The buck was moving up to a weekly high versus the yen, while trading flat against the Swiss franc.
In economic news, the euro zone economy contracted as estimated earlier in the second quarter, data released by statistical office Eurostat showed. Gross domestic products decreased a seasonally adjusted 0.2 percent sequentially in the second quarter, in line with the preliminary estimates. The economy contracted in the second quarter after stagnating in the first quarter.
Elsewhere, Germany's factory orders grew by a more than expected 0.5 percent in July from June, data from the Federal Ministry of Economy and Technology showed. Economists had forecast a 0.3 percent growth after declining 1.6 percent in June. Domestic demand rose 1 percent and foreign orders edged up 0.1 percent.
The Bank of England held its interest rates at record low of 0.50 percent and maintained quantitative easing at GBP 375 billion.
The European Central Bank is likely to cut its record low benchmark interest rate, known as the refi, to 0.50 percent from 0.75 percent. The bank will announce its rate decision at 7.45 a.m ET.
The prices of silver and platinum were moving higher in morning deals.
From the U.S., the ADP National Employment report, which sheds light on non-farm private employment, is scheduled to be released at 8:15 am ET. The consensus expectations are for an addition of 149,000 jobs by the sector in August following an addition of 163,000 jobs in July.
The Labor Department is due to release its jobless claims report for the week ended September 01 at 8:30 am ET. Economists expect claims to decline to 370,000 from 374,000 in the previous week.
