US gold futures stood barely changed after paring modest declines early on Thursday, with the market closely linked to moves in the US currency in thin summer trading, dealers said. By 9:35 am EDT, August delivery gold was flat at $424.60 an ounce on the New York Mercantile Exchange's COMEX division, patrolling a tight range of $425.10 to $422.90.
Data on consumer prices and retail sales took some pressure off of gold as profit taking emerged in the US dollar after its slight bounce on Wednesday, dealers said.
Additionally, the market's ability to hold above key chart support at $422 in futures prevented steeper losses in the early going.
"I think that the gold market might be looking to consolidate a bit today, with the dollar likely to remain somewhat mixed to a little weaker," James Quinn, A.G. Edwards & Sons commodity commentator, said.
Gold hit a 16-year high just below $460 an ounce in December amid the dollar's steep decline on concerns about the US deficits, but this year rising interest rates have capped gold while the dollar has firmed.
Analysts put resistance in COMEX August gold at $428 to $430 an ounce, with support resting down at $422 and $420.
US consumer prices held steady in June, with core inflation up a mild 0.1 percent, showing little evidence of inflationary pressure.
Retail sales jumped 1.7 percent in June, helped by a 4.8 percent rise in auto-related sales. The rise was above forecasts for retail sales to rise 1.0 percent.
Spot gold edged to $424.10/4.80 an ounce, up from Wednesday's late quote in New York at $423.80/4.50. Thursday's morning fix in London reached $422.50. In silver, September futures were down 1.5 cents at $7.055 an ounce, traded $7.07-$6.98.
Spot silver was flat from Wednesday's New York closing quote at $7.01/04 an ounce. The fix dipped to $6.985. October platinum tumbled $6.80 to $866 an ounce. Spot backtracked to $865/869.
September palladium lost 25 cents to stand at $182.10 an ounce. Spot stayed at $181/185.
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