LONDON, July 31: Gold bounced in Europe on Thursday as investors, encouraged by a slight softening of the dollar and a firmer tone to oil, hunted bargains after the metal hit a five-week low in the previous session.

Traders are awaiting key U.S. data, including US preliminary GDP figures due out later on Thursday and payrolls numbers on Friday, that are expected to set fresh direction to trade.

Gold climbed to $912.70/913.70 an ounce at 0950 GMT from $907.20/908.40 an ounce late in New York on Wednesday. The precious metal dropped as low as $893.50 an ounce in the last session, its weakest since June 26, as the dollar rose.

The dollar is slightly weaker compared to yesterday and the oil price is higher, (which) explains gold’s move back above the $900 level, said Calyon metals analyst Robin Bhar. Spot platinum rose to $1,750.00/1,770.00 an ounce from $1,725.00/1,745.00 late in New York on Wednesday.—Reuters