Strong US data, dollar weighs on gold

Robust US sales data and strong dollar weighed on gold, with international prices of the metal steady below $1,588 an ounce. Diminishing hopes of further monetary easing by the Central Banks weighed on the sentiments.

US retail sales rose by 1.1 per cent in February 2013 from the previous month. Dollar strengthened near seven-month high against a basket of currencies after bullish U.S. retail sales.

Tracking global cues domestic gold was also trading lower reversing previous day's gains. At 2.05 pm IST, gold futures for April delivery on the Multi Commodity Exchange were trading lower by Rs 126 or 0.43% at Rs 29,363 per 10 grams.

Silver futures fell by Rs 271 to Rs 54,486 per kgs on the Multi Commodity Exchange.

Delhi spot gold of 99.9% purity was seen lower at Rs 29,765 per 10 grams and gold of 99.5% was seen at Rs 29,770 per 10 grams.

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