RTTNews - The price of gold turned higher on Thursday and erased most of its decline from the previous session. The metal rose along with other commodities as the dollar failed to build on Wednesday's rebound rally.

Gold prices rose $16.70 to close at $982.30 per ounce. Earlier, prices touched as high as $983.40, challenging yesterday's multi-month high of $992.10.

The dollar lingered near its overnight levels versus the euro and sterling after climbing away from multi-month lows earlier this week. The European Central Bank and the Bank of England both announced interested rates will remain unchanged at record lows on Thursday morning.

With the dollar reaching a seven-month low against the sterling and a five-month low against the euro in recent days, the price of gold has been trending sharply higher. If the metal can get above $1,000 an ounce, it will mark the first time since February it has done so.

On Wednesday, gold closed the session down $18.80. Prices touched as low as $961.50 amid weakness across the board for commodities.

Thursday in economic news, the Labor Department reported initial jobless claims fell to 621,000 from the previous week's revised figure of 625,000. Economists had been expecting jobless claims to edge down to 620,000 from the 623,000 originally reported for the previous week.

On Friday, all eyes will be on the Labor Department's monthly report. Non-farm payrolls are expected to show a decline 520,000 in May. This is compared to a 539,000 drop in April. The unemployment rate is predicted to rise 9.2% in May, compared to an 8.9% decline in April.

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