Gold drops three sessions in row

Gold futures on the COMEX division of the New York Mercantile Exchange fell three sessions in a row Thursday as strong earnings boosted U.S. equities.

The most active gold contract for August delivery fell 13.9 U.S. dollars, or 1.07 percent, to settle at 1,290.8 dollars per ounce.

Gold slipped as encouraging news in U.S. equities counterbalanced rising geopolitical tensions. Analysts expect gold to come under pressure this year, despite near-term potential for further safe-haven demand.

A report released by the U.S. Department of Labor on Thursday hindered gold's advance as the number of Americans initially applying for unemployment aid fell to its lowest level since 2006. In the week ending July 19, the advance figure of seasonally adjusted initial claims for jobless benefits fell by 19,000 to 284, 000, showed the data released by the department. This data was much better than market expected.

On the supportive side, a report by the U.S. Department of Commerce showed that new single-family home sales fell 8.1 percent in June to a seasonally adjusted annual rate of 406,000 from the prior month. This is the slowest sales pace in three months.

Silver for September delivery lost 58 cents, or 2.76 percent, to close at 20.415 dollars per ounce. Platinum for October delivery lost 13 dollars, or 0.87 percent, to close at 1,473.7 dollars per ounce.