(RTTNews) - The price of gold was extending losses Thursday morning as the U.S. dollar was steady against a basket of currencies.
Gold for April delivery, the most actively traded contract, lost $11.50 to $1,638.80 an ounce. Yesterday, gold ended marginally higher as investors found the cheaper precious metal a bargain, even as the dollar moved up against a basket of major currencies with some mixed housing data from the U.S.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were unchanged at 1,290.25 tons.
This morning, the U.S. dollar was recovering from a 2-week low versus the euro and paring recent losses against sterling. The buck was leveling off from its 1-year peak versus the yen, while edging higher against the Swiss franc.
In economic news, euro zone private sector activity deteriorated further in March, a survey by Markit Economics revealed. The flash composite output index fell to a three-month low of 48.7 in March from 49.3 in February. An index reading above 50 indicates expansion of the sector and a reading below 50 suggests contraction. Economists expected an improvement in the index reading to 49.6.
Separately, a flash data from Markit Economics revealed that Germany's private sector expanded only at a marginal pace in March as output growth eased to a four-month low. The flash Composite Output Index fell to 51.4 from 53.2 in February. Manufacturers and service providers both saw moderation in activity growth to three-month lows during March.
Meanwhile, U.K. retail sales declined more than expected in February, the Office for National Statistics said. Including automotive fuel, retail sales volume fell 0.8 percent in February from a month ago. The decline reversed a 0.3 percent rise in January and larger than the expected drop of 0.5 percent.
Elsewhere, the prices of silver and platinum were moving lower in morning deals.
From the U.S., the Labor Department will release its weekly jobless claims report at 8.30.a.m ET. Economists expect the claims to edge up to 354,000 from the last week's 351,000.
