Gold prices fell Wednesday as the dollar steadied on upbeat economic news and hawkish remarks from Federal Reserve officials.
April gold was down $7.60, or 0.6%, to settle at $1,327.60/oz.
A report released by payroll processor ADP on Wednesday showed private sector employment in the U.S. increased by more than expected in the month of February.
ADP said employment in the private sector jumped by 235,000 jobs in February after surging up by a revised 244,000 jobs in January.
Economists had expected an increase of about 195,000 jobs compared to the addition of 234,000 jobs originally reported for the previous month.
Traders await the release of the Fed’s Beige Book for clues about economic conditions around the country.
Federal Reserve Governor Lael Brainard suggested the pace of interest rate hikes may need to accelerate.
“The macro environment today is the mirror image of the environment we confronted a couple of years ago,” Brainard told the Money Marketeers of New York University Tuesday. “In the earlier period, strong headwinds sapped the momentum of the recovery and weighed down the path of policy. Today, with headwinds shifting to tailwinds, the reverse could hold true.”