Gold prices dip for fifth straight session to one-month trough

Gold futures titled lower in American trade as the dollar index settled near the highest since mid-May, following earlier data from the US, the world's largest economy. 

As of 03:17 GMT, gold futures due on August 16 fell 0.28% to $1,243.20 an ounce from the opening of $1,246.70, marking the lowest since May 17, while the dollar index rose 0.22% to 97.76 from the opening of 97.55. 

Earlier US data showed the current account deficit rising below expectations in the first quarter, while Federal Reserve Bank of Chicago President Charles Evans and Federal Reserve Vice Governor Stanley Fischer made speeches, with Evans talking about current economic conditions and monetary policy at the New York University Money Marketeers event, where he mentioned the possibility of delaying rate hikes until the December meeting, expressing the need to gradually raise rates and trim down the federal balance sheet, while saying the Fed shouldn't hurry in its tightening to avoid setbacks. 

Evans said the US economy is nearing full employment as the economy registers noticeable improvements, while mentioning that it isn't possible for interest rates to settle at low levels for a long time without incurring risks.

Otherwise, he expected the Fed to increase rates in December or beyond, asserting the need to see evidence of stronger inflation and not just stabilizing prices, as recent data showed slowing inflationary pressures, which hinders the march towards the bank's 2% target.