08.03.201905:34:00UTC+00Gold Rises On Softer Dollar As Growth Worries Intensify

Gold prices rebounded on Friday as worries of slower global growth began to dominate headlines once again.

Spot gold climbed 0.7 percent to $1,294.54 per ounce while U.S. gold futures were up 0.65 percent at $1,294.75 per ounce.

The global economy appears to be heading towards a severe downturn after China reported worse than expected trade data for the month of February amid a trade dispute with the U.S.

Chinese exports plummeted 20.7 percent in February from a year earlier, reflecting weaker demand and distortions from the Lunar New Year holiday.

That was far below expectations for a 4.8 percent drop. Imports fell 5.2 percent after a 1.5 percent fall in January.

On Thursday, the European Central Bank cut its 2019 euro zone growth forecast and ramped up its stimulus program, citing wider macro challenges.

Earlier this week, the OECD cut forecasts again for the global economy in 2019 and 2020, following on from previous downgrades in November.

Equities declined broadly and the dollar remains somewhat sluggish in the European session, helping boost demand for the safe-haven metal.