Concerns about the fiscal health of Greece and Spain pulled down gold futures on Friday to their lowest price in 16 weeks, according to Reuters.
Investors' interests were gravitating toward the U.S. dollar as they liquidated their gold investments. German Bunds also were receiving attention as a safe-haven investment.
"May is turning into a trouble month for investors in most asset classes once again. Gold, offering high liquidity, is being hurt by the need to realize cash and move to the sidelines," vice president Ole Hansen with Saxo Bank told the news source. "We saw another sweep lower this morning assisted by another upside attempt on the dollar."
At 8:37 a.m. on Friday, gold futures fell 0.67 percent, a $10.70 loss to $1,584.80 per troy ounce.
Bloomberg reports the yellowish metal dropped in value as the U.S. economy continued strengthening. Only 14 of 32 analysts polled by the news service project the price of gold to increase next week as six analysts remained neutral.
Bullion dropped to its lowest price in four months of $1,572 per troy ounce on Friday morning.
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