Gold falls off a 2-week high as dollar rebounds and stocks rally

Gold prices fell on the European market on Thursday for the first time in three days, falling from the highest level in two weeks, with a noticeable activity of correction and profit taking, and the recovery of the dollar against a basket of currencies with the rise of most of the global stock markets.

As of 10:03 GMT, Gold prices fell by 0.9% to trade at $1,297.52 per ounce from the opening of $1,308.85 and the highest at $1,310.36 and the lowest at $1,295.93.

Gold prices rose 0.6% on Wednesday, the second daily gain in a row, the highest in two weeks at $1,311.11 an ounce, based on the decline of the US dollar against a basket of currencies.

Besides, today The dollar index rose more than 0.25% , making its first gain in five days, recovering from a two-week low of 96.32 points, reflecting the greenback rebound against a basket of major and secondary currencies.

The dollar's recovery comes as 10-year Treasury yields interest rates bounce back from a two-month low as the risk appetite improves in high-yielding asset markets, which makes the dollar the best current investment in the foreign exchange market.

European stocks hit a five-month high Thursday after the British parliament rejected the country's break-up from the European Union without a deal. The Standard & Poor's 500 jumped to its highest in five months ahead of the opening of the official trading session on Wall Street.

Gold holdings with SPDR Gold Trust (The largest global gold-backed index fund), remained unchanged yesterday, with total volume at 772.46 metric tons, the highest since March 1.