FE:Gold price holds near two-week low on strong US dollar
In a five-day long losing streak, gold pries today traded near a two-week low as a strengthened dollar curbed demand for an alternative investment.
Gold lost 0.1 per cent to 1,315.01 dollar. A decline today, a fifth successive drop, would be the longest losing run since August 1. Silver also slipped 0.8 per cent to 21.71 dollar an ounce, the lowest since October 17.
Gold reached 1,306 dollar an ounce on November 1, the lowest since October 17. The US Dollar Index, a measure against 10 currencies, was little changed after reaching the highest since September 18.
Gold is set for the first annual drop in 13 years as some investors lost faith in the metal as a store of value.
The Federal Reserve last week maintained its 85 billion dollar in monthly bond purchases, while noting that there are signs of 'underlying strength' in the economy.
Holdings in gold-backed exchange-traded products dropped 6.5 metric tons on November 1 to 1,875.3 tons, the lowest since April 2010.
