Gold passes $1,300 and sterling nears three-year high on weak dollar

Weaker US data and ongoing expectations of tighter UK monetary policy have helped boost gold and sterling respectively as the dollar loses ground.

With some raising questions over the strength of the US economic recovery, data showing US retail sales had unexpectedly fallen in January weighed on the dollar overnight, in turn pushing gold back above $1,300. The precious metal rose to $1,308 this morning, its highest level since early November, in the latest sign of a renaissance for bullion following steep falls last year. Dovish comments made by Federal Reserve chair Janet Yellen earlier this week, coupled with jobs figures that appear to have been hit by the poor winter weather, have prompted a pause in the dollar's recent upsw...