GO
Loading...

PRECIOUS-Gold stays below $1,300 as markets worry about U.S. stimulus

Monday, 11 Nov 2013 | 7:48 PM ET

SINGAPORE, Nov 12 (Reuters) - Gold was stuck below $1,300 on Tuesday, trading near a 3-1/2 week trough as investors fret over the timing of the U.S. Federal Reserve's stimulus tapering and as physical demand was not strong enough to provide a floor to prices.

FUNDAMENTALS

* Spot gold ease 0.1 percent to $1,281.56 an ounce by 0026 GMT. It has been trading below $1,300 since Friday and has fallen about 3 percent in the last four sessions.

* Prices have been under pressure since last Thursday as strong data on U.S. economic and jobs growth increased fears of an early end to the Fed's stimulus measures.

* Gold's drop below $1,300 has failed to attract demand in Asia as buyers waiting on the sidelines expect prices to weaken further.

* A special Romanian parliamentary commission overwhelmingly rejected a draft bill that would allow Canada's Gabriel Resources to set up Europe's biggest open-cast gold mine in the Carpathian mountains.

* Global banker BNP Paribas lowered its 2014 gold price forecast to $1,095 an ounce from $1,155, citing a recovery in the U.S. economy and lackluster demand.

* Zimbabwe may halt exports of raw platinum to South Africa to force mining companies to build a refinery in the country as a two-year deadline has expired, state media quoted President Robert Mugabe as saying.

* For the top stories on metals and other news, click , or

MARKET NEWS

* Asian shares held steady on Tuesday, with investors turning their attention to the Chinese Communist Party policy-meeting for clues to China's economic agenda for the next decade, while the dollar's two-day rally against the euro came to a halt.

DATA/EVENTS (GMT) 0500 Japan Consumer confidence index 1200 India Industrial output 1230 U.S. NFIB small business confidence 1245 U.S. ICSC weekly chain store sales 1330 U.S. Chicago national activity index 1355 U.S. Redbook weekly retail sales 1500 U.S. Employment trend index

Precious metals prices 0026 GMT

Metal Last Change Pct chg YTD pct chg Volume Spot Gold 1281.56 -1.26 -0.10 -23.47 Spot Silver 21.30 -0.02 -0.09 -29.66 Spot Platinum 1428.99 0.75 +0.05 -6.91 Spot Palladium 751.12 -0.32 -0.04 8.54 COMEX GOLD DEC3 1281.20 0.10 +0.01 -23.55 654 COMEX SILVER DEC3 21.32 0.04 +0.18 -29.65 188 Euro/Dollar 1.3401 Dollar/Yen 99.17

COMEX gold and silver contracts show the most active months

(Reporting by A. Ananthalakshmi; Editing by Edwina Gibbs)