Investing.com - Gold prices moved higher on Tuesday on news that China's gross domestic product grew less in the third quarter than in the second, which softened the dollar on fears that a cooling global economy may weigh on U.S. recovery.
Gold and the dollar tend to trade inversely with one another.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at $1,252.20 a troy ounce, up 0.60%, up from a session low of $1,245.80 and off a high of $1,255.60.
The December contract settled up 0.46% at $1,244.70 on Monday.
Futures were likely to find support at $1,232.00 a troy ounce, Friday's low, and resistance at $1,272.60, the high from Sept. 8.
Lackluster Chinese growth data fueled safe-haven assets such as gold.
China’s economy grew at an annual rate of 7.3% in the three months to September, slightly higher than the 7.2% forecast by economists but still slower than the 7.5% rate recorded in the second quarter.
It was the slowest rate of growth since the first quarter of 2009, in the midst of the global financial crisis, and the numbers pressured the greenback earlier on fears a slower global economy may dampen U.S. recovery.
Meanwhile in the U.S., better-than-expected data out of the housing sector cushioned the greenback's slide against the precious metal.
The National Association of Realtors said that existing home sales increased 2.4% to 5.17 million units in September from 5.05 million in August.
Analysts had expected existing home sales to rise 1% to 5.10 million units in September.
Meanwhile, silver for December delivery was up 1.12% at $17.548 a troy ounce, while copper futures for December delivery were up 1.28% at $3.026 a pound.