US Q1 GDP growth lagged estimates, jobless claims rose while pending home sales grew at a slower pace last month, underscoring economic weakness. A weaker dollar also boosted the demand for the precious metal as an alternative asset.
A weaker greenback makes the bullion less expensive for those holding other currencies, thus bolstering demand. Robust physical demand in the domestic spot market also supported the yellow metal.
At the MCX, Gold futures, for the June 2013 contract, closed at Rs 27,158 per 10 gram, up by 1.98 per cent, after opening at Rs 26,636, against a previous close of Rs 26,630. It touched an intra-day high of Rs 27,198.