Gold Prices Lose Steam Ahead of Friday's Jobs Report and a Rebounding Dollar

KITCO NEWS - Gold (GLD) - Get Report prices ended the U.S. day session near steady levels Thursday. An early 'buy-the-dip' bounce following recent profit-taking selling pressure gave way to renewed selling interest as today's session progressed. A rebound in the U.S. dollar index has been a bearish element for the precious metals. June Comex gold futures were last down $0.60 an ounce at $1,273.80. July Comex silver was last up $0.024 at $17.325 an ounce. So how much of an impact could April's nonfarm payrolls have on the metal? Todd 'Bubba' Horwitz, chief market strategist for bubbatrading.com and a veteran trader, says Friday's numbers can be a 'game-changer.' 'It can have a dramatic effect,' Horwitz said. 'If they have a good number, which would indicate they can possibly raise rates, then gold can fall a little harder,' he added. 'The worst I see, is gold is going down to $1,240," he said, noting he does not see the metal falling further and it would be a solid entry point. 'I think we are going up and the lows are already in,' he added.

This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.