Investing.com - Gold prices fell back below the $1,300 level as fears over a no-deal Brexit eased and a rising U.S. dollar put downward pressure on prices.
At 8:21 AM ET (12:21 GMT), gold futures for April delivery on the Comex division of the New York Mercantile Exchange declined $11.55, or 0.88%, to $1,297.75 a troy ounce. Bullion had managed to close above $1,300 on Wednesday for the first time in two weeks.
The U.K. parliament on Wednesday rejected the possibility of exiting the European Union without a transitional deal, reducing the risk of a “hard Brexit” that would disrupt both the U.K. and EU economies. A new vote is scheduled for 1:00 PM ET (17:00 GMT) Thursday, in which lawmakers are widely expected to approve asking the EU for an extension to the March 29 deadline.
A rebound in the U.S. dollar after four days of declines, also put downward pressure on gold. At 8:22 AM ET (12:22 GMT), the U.S. dollar index, which tracks the greenback against a basket of six major currencies, was up 0.20% to 96.70.
A stronger greenback makes the dollar-denominated metal more expensive for holders of foreign currencies.
In other metals trading, silver futures lost 1.35% at $15.248 a troy ounce by 8:24 AM ET (12:24 GMT).
Palladium futures inched up 0.10% to $1,508.25 an ounce, while platinum traded down 1.14% at $832.10.
In base metals, copper slumped 1.58% to $2.889 a pound.