Gold down on strong data

Gold futures on the COMEX division of the New York Mercantile Exchange fell sharply on Thursday as the U.S. economy showed improving data, including corporate earnings.

The most active gold contract for December delivery fell 16.4 U. S. dollars, or 1.32 percent, to settle at 1,229.1 dollars per ounce.

U.S. stocks accelerated to climb in the morning session Thursday on a pair of encouraging corporate earnings, pushing investors away from safe-haven investments. Analysts say that gold fell on more profit-taking from the shorter-term futures traders following recent gold gains. This shows less fear of risk in the marketplace, hurting gold's appeal as a safe haven.

In addition, positive data out of the U.S. economy helped gold' s fall on Thursday as a report from the U.S. Department of Labor showed initial jobless claims increased 17,000 to a seasonally adjusted 283,000 but remaining below the important benchmark of 300,000. The four-week average of these claims fell to 281,000, which is the lowest level since May 2000.

Silver for December delivery lost 7.3 cents, or 0.42 percent, to close at 17.158 dollars per ounce. Platinum for January delivery lost 16.1 dollars, or 1.27 percent, to close at 1,255 dollars per ounce.