1st LD Writethru: Gold down on strong dollar

Gold futures on the COMEX division of the New York Mercantile Exchange fell on Monday as the U.S. dollar gained strength and investors continued to trade on expectations of a rate hike. The most active gold contract for June delivery fell 5.3 U.S. dollars, or 0.44 percent, to settle at 1,199.30 dollars per ounce. The U.S. dollar index, a measure of the dollar against a basket of major currencies, rose by 0.18 percent to 99.54 as of 18:20 GMT. A stronger greenback will make dollar-denominated gold more expensive, dragging down the precious bullion. Meanwhile, a Fed official's hawkish statement on the rate hike also dampened gold. On Friday, Jeffrey Lacker, president of the Richmond Federal Reserve, told a group of finanical planners in Sarasota that he continues to favor a rise in June, saying the case for raising rates will be strong by then. Silver for May delivery fell 9.1 cents, or 0.56 percent, to close at 16.291 dollars per ounce. Platinum for July delivery dropped 16.7 dollars, or 1.43 percent, to close at 1,153.90 dollars per ounce. Endite