Bengaluru — Gold prices stayed below the key $1,280 level on Wednesday, near a four-month trough, as better-than-expected economic readings from China lifted Asian shares and sharpened risk appetite, denting the metal’s safe-haven appeal. Spot gold was steady at $1,276.36/oz as of 3.24am GMT, after having fallen as much as 1.2% to $1,272.70, its lowest since December 27, in the previous session. US gold futures were up 0.1% to $1,278.80/oz. China’s pace of economic growth in the first quarter remained steady at 6.4%, beating expectations of a growth rate of 6.3%, helped by a sharply higher factory production. The data, which signalled that Beijing’s recent stimulus drive might be paying off, swung Asian shares higher. “With the [Chinese] data that we’ve got, it certainly adds a bit of a downside to gold from here,” said IG Markets analyst Kyle Rodda. “The fact that we have broken below the key $1,280 level might make it difficult for prices to recover.” The metal has fallen by more ...
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