03.06.201403:25:47UTC+00Gold Approaches Four-Month Low as US Economy Improves

Gold continues to decline as demands for alternative investments reduce due to the stabilization of US economy as it boost the dollar and equities.

Gold traded today at $1,243.09 an ounce as per data acquired in Singapore at 9:14AM. The bullion had further devalued from $1,243.93 yesterday as per Bloomberg generic pricing. Meanwhile the metal slipped to its lowest since February 3 to $1,241.11. This is partly due to the Standard & Poor's Index continuous hits in the market as it reached a new record high while the US currency achieved to a 2-month high against a basket of 10 major currencies. Gold has been in a steady decline for almost four months now following the successive improvement on US economic data despite the winter dilemma and the tensions in Ukraine and Russia.

Expectations on the Federal Reserve to trim down asset purchase with the recovering economy has driven the gold into a depression of 28% last year. Meanwhile the metal declined as well with its largest drop in May at 3.3%. The euro also continued its drop, losing 1.7% in anticipation of the European Central Bank monetary policy changes on June 5.

Employment data is expected to rise in a June 6 report following the rapid expansion in manufacturing this May, the fastest it has gone this year.