02:00 PM EDT, 05/23/2024 (MT Newswires) -- Gold pulled back under the US$2,400 mark midafternoon on Thursday on profit taking after the metal rose to a record this week and a strengthening dollar after better than expected economic data, .

Gold for August delivery was last seen down US$53.90 to US$2,361.80 per ounce, falling for a third-straight day after closing at a record US$2,461.70 on Monday.

The drop comes as traders take profits while hopes for a near-term cut to US interest rates were once again dashed after minutes from the last meeting of the Federal Reserve's Federal Open Market Committee showed members are not convinced inflation is moderating to the central bank's 2% target.

"FOMC minutes lowered the prospect for rate cuts with some officials showing willingness to tighten policy further if needed to get inflation under control," Saxo Bank noted.

The dollar rose after the May manufacturing and services purchasing managers indices (PMI) both rose more than expected. The manufacturing PMI came in at 52.4 points, above expectations for a 50.0 reading, while the services PMI came in at 54.8, more than the forecast of 51.6. A reading of 50 or higher shows growth in the sectors.

The ICE dollar index was last seen up 0.07 points to 105.0 after earlier touching 104.63.

Treasury yields rose, with the US two-year note last seen paying 4.94%, up 6.0 basis points, while the yield on the 10-year note was up 5.5 basis points to 4.483%.