Thursday gold prices fell 3% to $1,075/oz. as the dollar hit a 7-month high on downbeat jobs data. Gold last traded down $34.50 to $1,074.20/oz., silver fell $.70 to $15.67/oz.

* Precious metal prices erased early February gains on Thursday as stocks and commodities fell on downbeat jobs data, leading short-term speculators to take profits, but offering long-term investors another golden buying opportunity.

* "The dollar kept its firm tone on Thursday after climbing broadly the day before on improving U.S. jobs and industry data, while fears Portugal could be the next euro zone country to face a debt crisis lifted the greenback against the euro," reports Reuters.

  * "Gold will climb to $1,500 an ounce and silver will top $25 this year as the dollar loses its haven status. Fear of sovereign debt defaults by one or another European country could benefit the dollar and temporarily hurt gold," according to Jeffrey Nichols, managing director of American Precious Metals Advisors reports Bloomberg.

* Gold fundamentals strong: "The World Gold Council said that suggestions of a gold price ‘bubble’ do not take account of gold’s market fundamentals, which remain robust. 'The current trading range should not be regarded as an overnight spike, but the result of a measured rise, supported by favourable and robust gold fundamentals,' said Aram Shishmanian, CEO of WGC," reports Telegrap h.

* "Gold prices rose the most in three weeks Monday on speculation that the dollar’s rally will stall, boosting demand for the metal as an alternative investment. The U.S. budget deficit in 2011 is projected at $1.3 trillion. "The dollar is losing its mojo today. Those budget numbers have people freaked out. We continue to print money with reckless abandon, so that's why people are buying up hard assets like gold and oil,' said Matt Zeman, a metals trader at LaSalle Futures Group in Chicago to Bloomberg.

* In January gold prices eased back 1.5% while silver slipped 4.4%. Meanwhile, the Dow fell 3.5% for the worst month in nearly a year, disappointing investors who adhere to the adage "As January goes, so goes the year." Precious metals remain a fundamental buy and hold, with their decade-long bull market soundly intact.