RTTNews - Gold inched slightly higher on Wednesday and extended a six-week closing high. weaker-than-expected retail sales data send stocks falling and traders toward the safety appeal of the precious metal.
June-stamped gold settled at $925.90, up $2 for the session.
Gold's gains were limited as the dollar bounced back modestly against the other major currencies. The greenback rose against the euro, moving off of a seven-week low and also rebounded away from a four-month low against the pound.
On the economic front, a Commerce Department report showed that retail sales fell 0.4 percent in April following a revised 1.3 percent decrease in March. Economists had expected sales to come in unchanged compared to the 1.2 percent decrease originally reported for the previous month.
At the same time, the Labor Department released a report showing that import prices jumped 1.6 percent in April following a much more modest 0.2 percent increase in March. The increase in import prices marked the fastest pace of growth since a 3.0 percent increase in June of 2008.
Additionally, the report showed that export prices rose 0.5 percent in April after falling 0.7 percent in March. The increase was partly due to a 3.6 percent increase in prices of agricultural exports, although prices still rose 0.3 percent excluding agricultural exports.
Later, a separate Commerce Department report revealed business inventories fell by 1.0 percent in March following a revised 1.4 percent decrease in February. Market analysts forecast inventories to fall by 1.1 percent compared to a 1.3 percent drop originally reported last month.
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