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Gold futures prices fell today, helped by earlier strengthening of the dollar, as well as signs that the global economy, led by the recent positive data from the U.S. is on the road to recovery, but despite this, the precious metal was not able to entrenched in these positions, and rose sharply to levels approaching opening day.
Recall that yesterday, the precious metal rose to a two-week high at $ 1,599.10, but was never able to break through the key resistance level at $ 1600, due to pressure from the dollar.
We add that the U.S. dollar rose to its highest level in seven months against a basket of currencies, helped by positive data on retail sales, which increased hopes that the economy can cope with higher taxes and spending cuts this year.
Reflecting the uncertainty in the gold market, the largest reserves of gold exchange-traded fund SPDR Gold Trust remained almost unchanged on Tuesday.
Note that an important event that may affect the market sentiment could be tomorrow's inflation data, which are likely to shed light on the direction of monetary policy, and help to better assess the prospects for the U.S..
April futures price of gold on the COMEX declined and now stands at 1585.30 dollars per ounce.
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