Gold and oil ends lower on higher dollar, Fed uncertainty

Gold extended losses into a second day on Thursday as a steadier dollar and higher bond yields dented its investment appeal, while uncertainty over the timing of a U.S. rate rise also weighed.

U.S. gold futures for June delivery settled down $8.10 an ounce at $1,182.20 an ounce. Spot gold was down 0.7 percent to $1,182 an ounce, holding below the key $1,200 level for a fifth day.

"Higher real yields rising are the more dominant factor of gold weakness at the moment," ABN Amro analyst Georgette Boele said.

Gold has been trading in a relatively narrow trading range of around $80 an ounce between $1,142 and $1,224 since mid-February, compared to a range of around $150 in January.
Oil fell more than 3 percent on Thursday, wiping out recent gains, as euphoria from the first U.S. inventory drawdown in months faded and focus returned to oversupplies in crude and gasoline.
A stronger dollar also weighed on the energy complex, making raw materials became less affordable to holders of the euro and other currencies.

U.S. crude futures closed down $1.99, or 3.3 percent, at $58.94 a barrel. The contract had rallied more than $2 to a high of $62.58 in the previous session.

Brent futures were down $2.40 a barrel to $65.30, wiping out a week's worth of gains. Meanwhile, gasoline futures were down 49 cents, their most in 16 days, to trade below $2 a barrel.