Bengaluru — Gold prices fell below the key $1,300 level on Thursday as a firm dollar and improved risk appetite on the back of a rise in European airline stocks pulled investors away from bullion. Spot gold was down 0.8% at $1,296.94 an ounce by 12.38pm GMT. It had touched its highest level since March 28 at $1,310.50 on Wednesday. US gold futures were about 0.9% lower at $1,302.70 an ounce. Gold is being pressured by “the recovery in the risk appetite, some optimism on the trade front and a firm dollar”, said Ryan McKay, commodity strategist at TD Securities. The dollar rose 0.1% against a basket of leading currencies. European shares advanced on Thursday, helped by a rise in airline stocks, after EU leaders gave Britain another six months to leave the bloc. Dovish views from major central banks on Wednesday failed to help gold. Lower interest rates reduce the opportunity cost of holding non-yielding bullion. “Dovish central banks have been baked into the cake right now. Gold marke...
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