17.07.201906:40:00UTC+00Gold Dips On Strong Dollar

Gold prices edged lower on Wednesday as the dollar held firm after the release of robust U.S. retail sales data.

Spot gold slid 0.3 percent to $1,401.76 per ounce while U.S. gold futures were down 0.6 percent at $1,402.55 an ounce.

U.S. retail sales increased more than expected in June and factory output in the month exceeded expectations, suggesting the world's largest economy is not as fragile as the Federal Reserve apparently believes.

Fed Chair Jerome Powell told a dinner audience at the Bank of France in Paris on Tuesday the central bank is "carefully monitoring" downside risks to U.S. growth and "will act as appropriate to sustain the expansion."

Investors also kept a close eye on any developments in the U.S.-China trade war after U.S. President Donald Trump threatened to impose tariffs on another $325 billion worth of Chinese goods, saying the U.S. still has a long way to go to conclude a trade deal with China.