Gold turned lower on Thursday, dropping for the fourth straight session on pressure from the firm U.S. dollar ahead of Friday's U.S. payrolls report, which will give clues about whether the Federal Reserve will soon raise interest rates.
"It's mostly related to the dollar," said Rob Haworth, senior investment strategist for U.S. Bank Wealth Management in Seattle.
"You're waiting for tomorrow's employment report. It's a big one because it will really set the tone for future Fed meetings."
The U.S. dollar rose against a basket of major currencies as traders closed out profitable bets against it ahead of the payrolls data, while U.S. and European stock markets also rose.