Gold Settles Lower As Dollar, U.S. Equities Strengthen

Gold futures dropped for a third straight session to end at a one-week low Wednesday, as investors opted for the rising U.S. equities amid some upbeat factory orders data, and with the dollar trending higher against some major currencies.

In some upbeat economic news from the U.S., manufactured durable goods orders rose more than expected in July, downplaying concerns over the health of the economy.

The encouraging data could also push the Fed Reserve toward a rate hike, which would help the dollar to strengthen.

Markets in the U.S. strengthened but have since moved back after opening sharply higher. The strength on Wall Street stems from traders looking to pick up stocks at reduced levels following the downturn seen on Tuesday.