2019.10.0314:07:00UTC+00Gold Futures Settle Higher For 3rd Straight Session

Gold prices edged higher on Thursday as worries about global economic slowdown, and the dollar's weakness amid prospects for a rate cut by the Federal Reserve supported the safe-haven commodity.

The dollar index, which declined to a low of 98.64 around mid-morning, was down $0.22, or 0.22%, at 98.90 around mid afternoon.

Gold futures started off on a sluggish note, but moved higher around mid morning after data showed a slowdown in U.S. service sector growth, and eventually settled with modest gain.

Gold futures for December ended up $5.90, or about 0.4%, at $1,513.80, after hitting a high of $1,525.80 intraday.

On Wednesday, gold futures for December ended up $18.90, or 1.3%, at $1,507.90 an ounce, after having climbed up 1.1% a session earlier.

Silver futures for December ended down $0.007, at $17.676 an ounce, while Copper futures for December settled at $2.5535 per pound, down $0.0170 from previous close.

A report released by the Institute for Supply Management Thursday morning showed growth in the U.S. service sector to have slowed by more than anticipated in the month of September.

The ISM said its non-manufacturing index dropped to 52.6 in September after climbing to 56.4 in August. The index had been expected to show a more modest dip to 55.0.

With the much bigger than expected decrease, the non-manufacturing slumped to its lowest level since hitting 51.8 in August of 2016.

Data released by the Labor Department showed a modest increase in first-time claims for U.S. unemployment benefits in the week ended September 28th. The data said initial jobless claims rose to 219,000, an increase of 4,000 from the previous week's revised level of 215,000.

Economists had expected jobless claims to inch up to 215,000 from the 213,000 originally reported for the previous week.

Meanwhile, a report from the Commerce Department showed factory orders edged down by 0.1% in August, after surging up 1.4% a month earlier.