Gold down on stronger U.S. dollar, data

Gold futures on the COMEX division of the New York Mercantile Exchange fell slightly Friday as the U.S. dollar showed strength.

The most active gold contract for August delivery fell 4.80 U.S. dollars, or 0.36 percent, to settle at 1,327.40 dollars per ounce.

Gold was put under pressure as the U.S. Dollar Index rose by 0.47 percent to 96.55 as of 18:15 GMT. The index is a measure of the dollar against a basket of major currencies. Gold and the dollar typically move in opposite directions, which means if the dollar goes up, gold futures will fall as gold, measured by the dollar, becomes more expensive for investors.

The precious metal was put under further pressure as a report released by the U.S. Department of Commerce on Friday showed retail sales much stronger than expected as the key retail sales index rose by 0.6 percent. Analysts note that auto sales were lower than expected, but that strength in other areas made up for that weakness.

On the other economic data, a report released by the U.S. Department of Labor showed the consumer price index increasing by an as-expected 0.2 percent during the month of June.

Silver for September delivery fell 15.70 cents, or 0.77 percent, to close at 20.165 dollars per ounce. Platinum for October delivery dropped 10.20 dollars, or 0.92 percent, to close at 1,094.40 dollars per ounce. Enditem