Traders who previously bought gold as a safe haven then opted to sell in order to book profits ahead of the three-day holiday weekend in the U.S., he said.

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You don't quit on the Friday of a three-day holiday.

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The figures were posted on Saturday, just before the country began a three-day May Day holiday this week.

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However, some observers also caution that a three-day holiday in China next week could at least temporarily curb some of the global buying.

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