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Gold was trading near three-week lows on Wednesday after strong US trade data and comments by a Federal Reserve official stoked fears the central bank could start tapering its stimulus from next month. The metal had fallen as much as 0.6 percent earlier in the day to its lowest since mid-July but pared losses after Chinese buyers emerged to pick up bullion at cheaper prices. Spot gold had dropped 0.1 percent to $1,280.19 an ounce by 0722 GMT after hitting a trough of $1,273.14 earlier.

Copyright Reuters, 2013

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