Gold down on positive US economic data

Gold futures on the COMEX division of the New York Mercantile Exchange fell on Thursday as positive US economic data dulled gold's appeal as a safe haven.

The most active gold contract for June fell 12.3 US dollars, or 0.94 percent, to settle at 1293.6 dollars per ounce.

Gold was weighed on by two pieces of positive US economic data.

The US Labor Department said that the consumer price index rose a seasonally adjusted 0.3 percent in April, marking the index 's largest gain since June.

In a separate report, the Labor Department said that initial jobless claims fell by 24,000 to a seasonally adjusted 297,000 in the seven days ending on May 10. This is the lowest level since May 2007.

Stronger economic growth means the US Federal Reserve will be less inclined to waver on tapering its bond-buying program. Analysts also believe that a broad selloff in US equities did not assist gold and contributed to the metal's downward momentum.

Silver for July delivery lost 29.1 cents, or 1.47 percent, to close at 19.484 dollars per ounce. Platinum for July delivery lost 15.8 dollars, or 1.06 percent, to close at 1469.9 dollars per ounce.