* Gold specs raise net long positions for 2nd week
* U.S. February retail sales data due at 1230 GMT
* GRAPHIC-2019 asset returns: http://tmsnrt.rs/2jvdmXl (Updates prices, adds detail and comments)
April 1 (Reuters) - Gold prices eased on Monday as stock markets rallied after upbeat Chinese economic data soothed some concerns about the global economy and boosted risk appetite, although losses were limited by a sliding dollar.
Spot gold was down 0.1 percent at $1,290.22 per ounce by 1005 GMT, after touching its lowest since March 8 at $1,286.35 on Friday.
U.S. gold futures fell 0.2 percent to $1,295.80 an ounce. "We have a positive environment in the equity markets so risk is on and that's a negative for gold," Julius Baer analyst Carsten Menke said.
Global stocks surged on strong Chinese factory activity data and signs of progress in U.S.-China trade negotiations.
The dollar index was lower, however, limiting gold's losses as it makes holding the metal cheaper for buyers holding other currencies.
"We have to look through the noise and at the bigger picture. We still think the global economy is slowing in the 12-18 month horizon, especially in the U.S., which should help gold in the longer term," Menke said.
Gold has gained more than 11 percent since touching more than 1-1/2-year lows last August on a dovish U.S. Federal Reserve and global growth concerns.
Investors are now waiting for U.S. retail sales and manufacturing PMI data due later in the day.
Global demand for gold in 2019 will rise to the highest in four years as higher consumption by jewelers offsets a fall in purchases by central banks, an industry report said on Monday.
Elsewhere, Britain's exit from the European Union was in disarray after the implosion of Prime Minister Theresa May's Brexit strategy left her under pressure from rival factions to leave without a deal, go for an election or forge a much softer divorce.
Speculators increased their net long position in COMEX gold for the second straight week in the week to March 26, data showed on Friday.
"Speculative financial investors were caught on the wrong foot recently," Commerzbank analysts said in a note, adding gold prices have, however, fallen consistently in the meantime.
Among other precious metals, spot palladium was down 0.5 percent at $1,377.21 an ounce, having declined more than 11 percent last week.
Silver was down 0.6 percent at $15.05 an ounce, while platinum fell 0.1 percent to $844.35 an ounce. (Reporting by Sumita Layek in Bengaluru; Editing by Kirsten Donovan)