LONDON: Gold prices eased on Wednesday as Wall Street stocks rose and as strong US industrial production data fed investor caution about bullion a day after prices fell nearly two per cent.

Gold traded near its key 200-day moving average support near $1,300 an ounce after a US government report showed industrial production rose faster than expected in March.

The US gold market will be shut on Friday for the Good Friday holiday.

Spot gold was down 0.2pc at $1,299.59 an ounce by 1600 GMT, following Tuesday’s 1.8pc drop on technical selling after prices fell below the 200-day moving average. US COMEX gold futures for June delivery rose $1.10 an ounce to $1,301.10, with trading volume on track to finish below its 30-day average, preliminary Reuters data showed.

Among other precious metals, silver was unchanged from Tuesday’s close at $19.57 an ounce, having hit a 2-1/2-month low at $19.24 an ounce in the previous session.

Platinum eased 40 cents to $1,434.50 an ounce, while palladium rose 1.1pc to $800.60 an ounce.