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· Gold dropped 1 percent on Tuesday to its lowest level of 2019, as a string of robust economic data boosted demand for riskier assets like equities while bullion was further weighed down by gains in the U.S. dollar.

Spot gold was down 0.88 percent to $1,276.25 per ounce as of 3:00 p.m. EDT, having earlier slipped to its lowest since Dec. 27 at $1,272.70.

U.S. gold futures settled 1.1 percent lower at $1,277.20 an ounce.

· “We’re likely to see some more pressure on gold over the next couple of days, especially with earnings coming out that’s going to keep the equity market stronger,” said Bob Haberkorn, senior market strategist at RJO Futures. Bullion is also being weighed down by strong data from China and a better-than-expected U.S. jobs report last week, he said.

“If the data comes out south of 6 percent, it will be enough to rally gold, but anything north of 6 percent will keep gold on the defensive,” RJO’s Haberkorn said.

Bullion could see a bounce later in the week on bargain hunting with “traders waiting for more downside to go,” he added.

· Indicating strong appeal for riskier assets, Wall Street equities climbed on better-than-expected results from healthcare giants, adding to momentum in global equities driven by the data from China and improved sentiment in Germany.

· The dollar also firmed, making the yellow metal more expensive for holders of other currencies.

· Investors are now waiting on China’s gross domestic product numbers for further cues on global growth. A Reuters poll forecast first-quarter growth to have cooled to 6.3 percent, the weakest pace in at least 27 years, but a flurry of measures to boost domestic demand may have put a floor under activity in March.

· On the technical front, gold’s break below key support levels, including the 100- and 50-day moving averages, signaled a further downside to prices, analysts and traders said.

· Gold is poised to move higher later this year, powered by the Federal Reserve’s less aggressive stance on interest rates and lingering global uncertainties, a precious metals expert said Tuesday.

· Central banks have been buying gold at levels not seen in 50 years, as part of a broader diversification of reserves away from currencies including the U.S. dollar.

· Concerns over the global economy and geopolitical issues including the trade war between the United States and China have added to uncertainty, which often benefits gold that’s considered a safe haven — or assets that tend to retain or increase their value even during market turbulence.

Gold prices have largely been stuck in a range of between $1,217 to $1,330, according to Martin Huxley, Singapore-based global head of precious metals at financial services company INTL FCStone. But he said that could change.

“I think that we expect gold to continue to trade pretty much within that range for the coming months,” Huxley told CNBC on Tuesday. “But over the second half of the year we expect it then to grind higher, and potentially it could test 1,400 towards the end of the year,” he added, referring to gold’s price per ounce in relation to the dollar.

· Overall sentiment for bullion was turning positive, however, with increasing central bank buying likely to provide a cushion for prices, Standard Chartered analysts said in a client note.

· Central banks have been accumulating gold at levels not seen in 50 years, as part of a broader diversification of reserves away from currencies including the US dollar. Their reserves surged 651.5 tons, or 74 percent year on year, in 2018, according to data from the World Gold Council (WGC).

· Central banks backed up the truck for gold in 2018, buying 651.5 tonnes versus 375 tonnes in 2017. That’s the largest net purchase of gold since 1967.