Investing.com - Gold futures came off earlier highs but held steady on Thursday after the Federal Reserve will exercise patience raising interest rates.
Gold prices have tumbled in recent months as markets prep for the Fed to raise interest rates, which is widely seen taking place in 2015, as higher borrowing costs chip away at the precious metal's appeal as a hedge to weaker paper currencies, the product of loose monetary policy.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery were up 0.18% at $1,196.60, up from a session low of $1,187.10 and off a high of $1,213.80.
The February contract settled up 0.02% at $1,194.50 on Wednesday.
Futures were likely to find support at $1,182.00 a troy ounce, Wednesday's low, and resistance at $1,225.00, Monday's high.
Gold prices have priced in tighter U.S. monetary policy, through futures rose after the Fed on Wednesday said it will be patient when hiking interest rates.
By Thursday, the yellow metal gave back gains but remained in positive territory thanks to the U.S. central bank's reassuring language, with mixed data reminding investors that rate hikes won't come right in wake of the arrival of 2015.
The U.S. Department of Labor reported earlier that the number of individuals filing for initial jobless benefits in the week ending Dec. 12 fell by 6,000 to 289,000 from the previous week’s revised total of 295,000. Economist had forecast an increase of 1,000, and the better-than-expected result firmed the dollar.
On the flip side, manufacturing activity in the Philadelphia-region slowed in December after expanding at the fastest rate since December 1993 last month, according to data released on Thursday.
The Federal Reserve Bank of Philadelphia said its manufacturing index came in 24.5 at this month, down from 40.8 in November.
Economists had forecast a decline to 26.6.
On the index, a reading above 0.0 indicates improving conditions, below indicates worsening conditions.
The current new orders index, which reflects the demand for manufactured goods, fell to 15.7 from 35.7, while the employment index dropped to 7.2 from a three-and-a-half year high of 22.4 last month.
Elsewhere, silver for March delivery was down 0.13% at $15.907 a troy ounce, while copper futures for March delivery were down 0.72% at $2.850 a pound.