Gold futures trading modestly higher accorded by a loss two weeks early Wednesday after retail sales rose less than expected in March, but a recovering dollar could restrict of any increase in bullion prices.
On the Comex, gold futures delivery in June hit a intraday low of $1,188.50 a troy ounce, before trading at $1,193.50 during U.S. morning hours, up $1.10, or 0.09%. While, Spot gold was flat at $1,192.93 an ounce.
Retail sales rose 0.9 percent in March, just below of market expectations of up 1 percent. But that was the first monthly gain since November, suggesting a sharp deceleration in economic growth in the first trimester was temporary.
The Federal Reserve Bank of New York said its overall rate of business conditions fell to -1.2 the month since a reading of 6.9 in March. The analysts had expected the index to 7.0 inches in April.
A disappointing data triggered emerging concerns over the strength of the economy, fueling speculation that the Federal Reserve may delay trails interest rates until late 2015, rather than tighten midyear.
In addition, the annual economic growth of China is likely to at least six years of 7 percent during the first quarter slowed, because of demand at home and abroad hesitated, a Reuters survey, fueling expectations for the authorities will have to deploy more policies to encourage to avoid a more marked slowdown.
The data on retail sales and investment in fixed assets also lived up of forecasts, which indicates that China must act to prevent further downturn in the economy.
Globally, Gold is trading in a small range. Firmly in dollars, but in the international market pressure on gold prices remain above $1190. Gold in the domestic market is small in the range. June gold futures on MCX with mild weakness is trading around Rs 26 530.
For commodity market tips, MCX live tips, Gold-Silver prices and trading market latest news & updates with 100McxTips, follow us on Twitter @100mcxtips and Like on Facebook. And to contact the reporter on this story email at firstname.lastname@example.org or Call: +91-761-4012307