Open interest in gold futures markets dropped further on Thursday, this time by around 1.5K contracts according to preliminary readings from CME Group. Volume followed suit and shrank for the second session in a row, now by more than 36K contracts.

Gold: Another pullback to $1930 remains on the table

Gold prices extended the recovery and briefly trespassed the key $1980 region per ounce troy on Thursday. The uptick was accompanied by declining open interest and volume, removing strength for a potential continuation of the rebound.