NEW YORK (TheStreet) -- Gold prices fight back.

Gold is seeing more strength Thursday on the back of a weaker U.S. dollar. The precious metal started

reclaiming lost ground Wednesday

after a multi-day losing streak.


settled Wednesday at $1,094 an ounce.

Mixed economic data supported signs of an economic recovery, prompting an uptick in equities and commodities and a slight decline in safe haven assets like the dollar. The

U.S. dollar index

was slipping .25% to $77.73 while gold was rising $7.10 to $1,101.10 an ounce at the Comex division of the New York Mercantile Exchange.

Gold prices are in a tug of war between a stronger U.S. dollar and profit taking -- which weigh on prices -- versus bargain hunting, which creates support. For now bargain hunters appear to have won out and are buoying the precious metal as it dips below the $1,080 level.

Markets close at 1pm E.S.T. for the Christmas holiday and volume is expected to be light, which could lead to short-term volatility.

"Conditions are indeed thin, so the markets are going to show exaggerated moves today as well as any time next week," said Jon Nadler, senior analyst at "I would caution that whatever we see in these markets for the next few sessions is not to be really considered 'real moves'....I think $1,070 better hold or else we are looking to $1,020-$1,050 area as a possible deeper cleanout."

Gold delivery for February, the most actively traded contract, has traded as high as $1,106.90 and as low as $1,088.30.

Silver prices

were rising 30 cents to $17.32 while copper was adding 4 cents to $3.24.

Mining stocks, a more leveraged way to

invest in gold

, were gaining strength.

Barrick Gold



Newmont Mining

(NEM) - Get Report

TheStreet Recommends

were up to $40.23 and $48.04 respectively. Shares of

Freeport McMoran Copper & Gold

(FCX) - Get Report

were rising to $80.93 while

Yamana Gold

(AUY) - Get Report

was holding at $11.76.

The popular physically backed ETF,

SPDR Gold Shares

(GLD) - Get Report

was rising 1.13% to $107.75 although tonnage has remained unchanged since Monday.

Shares of

Market Vectors Gold Miners

(GDX) - Get Report


Market Vectors Juniors

(GDXJ) - Get Report

were trading at $46.93 and $25.94 respectively.

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Written by Alix Steel in New York


Alix joined TV in February 2007. Previously, she held positions in film and theater production, management, and legal administration. Alix has a degree in communications and theater from Northwestern University.