Gold extended losses on Friday to hover near six-week lows as the dollar firmed up after the release of upbeat U.S. data and remarks from Federal Reserve Chairman Jerome Powell that the central bank’s gradual interest-rate increases are helping sustain the economic expansion.
Spot gold was flat at $1,183.10 after having touched its lowest since Aug. 17 at $1,180.34 an ounce earlier in the day.
U.S. gold futures were marginally lower at $1,186.80 an ounce, a day after data showed the world’s largest economy grew as expected in the second quarter.
The precious metal remains on track for its longest monthly losing streak since January 1997, pressured by the stronger dollar and increasing U.S. interest rates amidst buoyant U.S. economic conditions.
The Fed on Wednesday raised interest rates by 25 basis points and said it planned four more increases by the end of 2019 and another in 2020.