Gold closed about $2 lower on Thursday as uncertainty in Greece after the European Central Bank said it would no longer accept Greek bonds in return for funding left investors on the sidelines.
The ECB’s announcement dealt a blow to Athens which is seeking debt relief from euro zone lenders, knocking the euro down against the dollar in early trade. Spot gold was last down 0.5 percent to $1,264 an ounce. U.S. gold futures for April delivery settled down $1.80, at $1,262.70 an ounce.
“Like in 2014, we had a phenomenal start of the year, up 8 percent in January, so inevitably we are going to see a bit of profit-taking,” broker Sharps Pixley CEO Ross Norman said.
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