Gold Stable Near $650

Gold was steady near 650 usd per ounce after recovering from three month lows yesterday, as dealers waited for key US economic data due for release later today.

The US data on producer prices and jobless claims will be the number one factor in the dollar's movement today, as investors look for signals of a potential move in US interest rates.

Gold usually moves counter to the dollar, as investors see the precious metal as an alternative asset to the US currency.