Gold price fell as global stock markets rose and on a stronger U.S. dollar. The U.S. dollar rose against the euro on comments by the European Central Bank (ECB) President Mario Draghi. He hinted at a press conference on Thursday that the central bank may add further stimulus measures at its meeting in March as downside risks rose.
The U.S. dollar was also supported by the U.S. economic data. Markit Economics released its preliminary manufacturing purchasing managers' index (PMI) for the U.S. on Friday. The U.S. preliminary manufacturing purchasing managers' index (PMI) increased to 52.7 in January from 52.2 in December, beating expectations for a decline to 51.1.
The National Association of Realtors released existing homes sales figures in the U.S. on Friday. Sales of existing homes rose 14.7% to a seasonally adjusted annual rate of 5.46 million in December from 4.76 in November. Analysts had expected an increase to 5.20 million units.
February futures for gold on the COMEX today dropped to 1094.40 dollars per ounce.