NEW YORK, April 26: Gold ended a tad higher on Friday, rebounding from three-week lows as a sharp drop in a gold-backed exchange-traded fund put a damper on bullion’s initial rally on the back of surging crude oil.

Gold was expected to face downward pressure again after falling nearly 15 per cent from last month’s record high.

Gold futures for June delivery on the COMEX division of the New York Mercantile Exchange ended up 30 cents at $889.70 an ounce.

Analysts said bearish market sentiment was also evident from large withdrawals from exchange-traded funds. A firmer dollar makes gold costlier for holders of other currencies and often lowers bullion demand. The metal is also generally seen as a hedge against oil-led inflation.

Gold is likely to have already reached the year’s high and to come under pressure particularly in H2.

We thus recommend not only closing long positions in gold, but also selling gold short, it said.

In industry news, the Swiss National Bank does not plan gold sales beyond the programme to sell 250 tons announced last year, Chairman Jean-Pierre Roth said.—Reuters