Gold drops 0.3% on strong GDP data; oil loses 1%
New York (July 30) Gold prices continued to pull back today as a stronger-than-expected report on the U.S. economy dampened demand for safety plays.
Gold for August delivery fell for a second day, dropping 0.3 percent to finish at $1,294.90 an ounce.
The U.S. economy expanded at a 4 percent annual pace in the second quarter, stronger than economists had forecast and a sign that the economy has recovered from the unusually harsh winter.
In other metals, September silver edged up a penny to $20.60 an ounce.
September palladium gained 0.2 percent to $880.15 an ounce, while October platinum lost 0.2 percent to $1,481.90 an ounce.
High-grade copper for September delivery gained 0.7 percent to $3.25 a pound.
In energy markets, West Texas Intermediate crude fell below $100 a barrel for the first time in two weeks after a government report showed that U.S. gasoline supplies gained as demand slipped.
WTI for September delivery slipped 1 percent to $99.94 a barrel on the New York Mercantile Exchange.
Gasoline inventories climbed for a fourth week while stockpiles of distillate fuel, a category that includes diesel and heating oil, rose to a 10-month high, according to the Energy Information Administration. Gasoline use fell 0.5 percent to an average 8.95 million barrels a day in the past four weeks, the least since May.