Gold at $1349 on Weaker U.S. Dollar

Gold settled about 1 percent higher on Thursday, gaining support from the European Central Bank’s decision not take fresh action to inject liquidity into the eurozone’s financial system, which boosted the euro versus the dollar.

The ECB kept interest rates on hold, while failing to loosen lending conditions to ward off the threat of excessively low inflation and underpin a fragile recovery.

That prompted a jump in the euro, which was reflected in a weaker dollar index, down 0.6 percent, while earlier strength in European equities waned.


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