FUNDAMENTALS
* Spot gold gained 0.1 percent to $1,273.90 an ounce by 0042 GMT and U.S. gold futures added 0.2 percent to $1,275.50 an ounce.
* China’s investment, factory output and retail sales all grew more slowly than expected in April, adding to doubts about whether the world’s second-largest economy is stabilising, data released on Saturday showed.
* Gold has gained 20 percent this year after weak economic data in the United States and elsewhere eased expectations of a near-term increase in U.S. interest rates.
* Higher rates would lift the opportunity cost of holding non-yielding gold.
* Still, stronger-than-expected U.S. economic data last week renewed expectations the Federal Reserve will raise interest rates more than once this year, capping gains in precious metals.
* U.S. retail sales in April recorded their biggest increase in a year as Americans stepped up purchases of automobiles and a range of other goods, suggesting the economy was regaining momentum after growth almost stalled in the first quarter.
* Two Fed officials said the central bank should raise rates if data points to an improving economy.
* Spot silver advanced 0.2 percent to $17.13 an ounce, platinum was up 0.3 percent at $1,050.4 and palladium was rose 0.4 percent at $591.47.
Source: Reuters
