Rohstoffnews

08 Nov 2004 09:18

08.11.2004 09:15:53 TOCOM gold touches 2-week high on New York gains

TOKYO, Nov 8 (Reuters) - Tokyo gold futures touched their highest level in more than two weeks on Monday, tracking both New York gold, which finished last week at a 16-year peak, and firm bullion prices.

The October gold contract on the Tokyo Commodity Exchange (TOCOM) rose as high as 1,479, the highest for a benchmark contract since the 1,480 on Oct. 21.

It closed up 12 yen per gram at 1,476 yen, just above the day's low of 1,474 yen. Other months rose by 9-15 yen.

"Faced with a weak dollar ... gold is likely to remain popular with ... investors wanting to put their money in a safe asset," a Tokyo analyst said.

Demand for gold among retail consumers was also strong, and the precious metal was likely to be bought on any dip, providing further support, he added.

December delivery gold rose $3.50 an ounce in New York on Friday, to settle at $434.30, the highest price for a benchmark futures month since July 1988.

Spot gold was at $434.80/5.30 an ounce at 0630 GMT, compared with $433.25/434.00 in New York on Friday.

Bullion climbed to a 16-year high in Asia on Monday after the dollar dropped to a record low against the euro, making dollar-priced gold cheaper for holders of other currencies.

The dollar hit an all-time low of around $1.2986 per euro in late Tokyo trade, after it marked a low of $1.2973 in New York on Friday despite data showing a surprising increase in the number of new U.S. jobs created in October.

Against the Japanese currency it slipped to a seven-month low of 105.33 yen.

The dollar was fetching 105.45/5.48 yen at TOCOM gold's close at 0630 GMT, under pressure on concerns over the bloated U.S. current account deficit, and traders said the dollar was likely to suffer further losses.

Attention was focused on Wednesday's meeting of the U.S. Federal Reserve's policy-making committee, which is widely expected to raise short-term interest rates by 25 basis points.

TOCOM platinum was also bought across the board, supported by firm demand for the metal, which is used mainly for jewellery and as an auto catalyst to clean car exhaust fumes.

Britain's Johnson Matthey Plc (/JMAT.L), the world's top distributor of platinum and related metals, is expected to release a supply and demand forecast next week.

The benchmark October platinum futures contract closed up 8 yen at 2,802 yen per gram after moving between 2,795 yen and 2,813 yen.

Spot platinum was at $847/852, largely flat from New York levels of $846/851 an ounce.

Total gold turnover was estimated at 57,430 lots, up slightly from Friday's 55,568 lots.

Below are closing prices for TOCOM's most active precious metals contracts, with the day's turnover for each metal.

Closing prices are in yen per gram except for silver, which is in yen per 10 grams: For open interest details please click

Closing price Turnover (lots)
GOLD 1,476 (up 12) 57,430
SILVER 253.5 (up 4.8) 4,867
PLATINUM 2,802 (up 28,113
PALLADIUM 735 (flat) 620

08 Nov 2004 11:54

08.11.2004 11:53:30 UPDATE 4-Gold glistens at 16-year highs on dollar's woes

(Changes dateline, byline and re-casts)

By Martin Hayes

LONDON, Nov 8 (Reuters) - Gold bullion hit 16-year highs on Monday and prepared for a challenge of its July 1988 price peak at $440 an ounce after the dollar slid to a record low against the euro, analysts said.

"The dollar is the main overriding driver...There is resistance at $435, but then you are looking at the big numbers f $440, and people are talking about $450," analyst Kamal Naqvi of Barclays Capital said.

The dollar, which has been in a tailspin since the re-election of President George W. Bush for a second term in the White House, fell to a low of $1.2975 against the euro and to multi-month lows against other currencies.

Bush's re-election had fanned concern about the bloated U.S. budget deficit and ballooning current account deficit, pushing the currency down and making dollar-denominated bullion cheaper for major buyers outside the dollar bloc.

"The market is in a bull run again," said Frederic Panizzutti, Geneva-based technical analyst at MKS Finance.

He added that most factors appeared very positive for gold, but the market had already risen sharply and might struggle to reach higher ground.

Gold hit $435.00 an ounce overnight in Asia, its highest since August 1988, against $433.25/$434.00 in New York on Friday. At 1010 GMT it had settled at $432.70/433.20.

Key for the dollar will be Wednesday's meeting of the U.S. Federal Reserve's policy-making committee, which is widely expected to raise short-term interest rates by 25 basis points.

But analysts said such a move was widely expected, so might do little to arrest the dollar's fall or tarnish gold's allure.

Gold was gaining added support as an inflation hedge against firmer oil prices and from its traditional role as a haven in times of widespread global tensions.

It has also attracted a much broader investor base this year as powerful funds have flocked to commodities.

In other precious metals, silver rose to a seven-month high of $7.51, then settled at $7.46/$7.49 an ounce, versus $7.45/$7.48 in New York.

Platinum was at $845/$850 an ounce from New York's $846/851, while palladium was quoted at $212/$217 an ounce from $211/217 in late U.S. trade on Friday.

(Additional reporting by Lewa Pardomuan in Singapore and Nick Trevethan in London)

08 Nov 2004 16:56

08.11.2004 16:42:39 NY gold dips early as dollar pares fall

NEW YORK, Nov 8 (Reuters) - Gold futures in New York dipped from Friday's 16-year high on Monday morning as speculators pared long positions while the dollar inched back from an all-time low against the euro, dealers said.

By 10:12 a.m. EST (1512 GMT), gold for December delivery on the New York Mercantile Exchange's COMEX division was down $1.70 at $432.60 an ounce, trading from $433.50 to $431.90.

Prices should consolidate in a tight range, based on dollar movements, analysts said, before the market takes a stab at resistance in the mid-$430s and then targets $440.

December gold peaked at $435 Friday as the dollar fell sharply. That marked the loftiest price for a COMEX benchmark month since July 1988. A weaker dollar makes gold cheaper in foreign currencies.

After Friday's settlement, CFTC Commitments of Traders data showed the fund net long position in COMEX gold futures fell to 111,437 lots as of Nov. 2 from 127,895 lots a week earlier.

It appeared more longs were added late in the week as the gold market rallied, leaving funds "overexposed but still comfortable," said IFR Markets analyst Tim Evans.

"Where we think they may be at risk is if currency traders take note that oil prices are already 12.4 percent off their peak, and that the S&P is climbing, and opt to take profits on their short dollar positions," he said. "Under that scenario we see long liquidation sooner rather than later."

Evans pegged first support in December gold at $425.50 followed by $418 and then $410.50 with resistance at $435 and $436.50 and then at $440 on the way to $450.

On Monday, the dollar hit a fresh record low against the euro at $1.2985 and analysts said it was only a matter of time before it hit the psychological $1.30 level. The euro last traded at $1.2923 .

Currency traders believe the dollar must decline as long as the United States runs large and growing budget and current account deficits.

However, a warning on currency moves from the head of the European Central Bank gave the dollar some respite.

Gold traders mostly were awaiting a meeting on Nov. 10 of the U.S. Federal Reserve Open Market Committee, which is expected to yield a quarter-percentage point interest rate hike, lifting the federal funds rate to 2.0 percent.

The safe haven could come under pressure if rates go up because that would bolster the dollar and make dollar-priced gold more expensive for holders of other currencies.

Bullion hit a fresh 16-year high at $435 overnight in Asia. Spot last fetched $431.40/1.90 versus $433.25/4.00 at Friday's New York close. The Monday afternoon fix in London was $431.90.

December silver slipped 1.50 cents to $7.49 an ounce, in a $7.565 to $7.42 range. Spot was at $7.44/47, off from $7.45/48 previously. The London fix was $7.4450.

NYMEX January platinum fell $3.90 to $848 an ounce. Spot platinum was worth $844.00/848.00.

December palladium dipped $1.80 to $215.90 an ounce. Spot palladium touched $211.00/215.00.

© Reuters 2004

08 Nov 2004 17:16

08.11.2004 17:15:07 Commodities News Summary

TOP NEWS
> UPDATE 3-London cocoa skyrockets on Ivorian confli [nL0854172]

LONDON - Cocoa prices in London surged to a three-month high on Monday as violence in Ivory Coast fuelled fears of disruption to supply from the world's biggest cocoa grower, traders said.

- - - -

> UPDATE 2-NY cocoa futures surge on Ivorian unrest [nN08446281]

NEW YORK - New York benchmark cocoa rallied to a 1-1/2-year high Monday morning on widespread worries that violence in top grower Ivory Coast will disrupt supplies, floor sources and analysts said.

- - - -

> UPDATE 7-Gold sets 16-yr highs on weak dollar, the [nSP2427]

LONDON - Gold hit fresh 16-year highs on Monday as the dollar fell to an all-time low against the euro but it lost ground when the U.S. currency partly recovered.

The dollar remained vulnerable, however, and traders and analysts said gold was still on course to challenge its July 1988 price peak at $440 an ounce.

- - - -

> NY gold dips early as dollar pares fall [nN08371939]

NEW YORK - Gold futures in New York dipped from Friday's 16-year high on Monday morning as speculators pared long positions while the dollar inched back from an all-time low against the euro, dealers said.

- - - -

> LME copper edges up on dollar weakness, trade thin [nL08110127] * Copper on the London Metal Exchange inches up as dollar weakness prompts light fund buying, while other metals drift down in thin trade. * Copper rises to $2,960 a tonne from Friday's late London kerb close of $2,953. * Aluminium falls $12.5 to $1,815.5, zinc loses $20 to $1,080 and nickel down $325 at $14,025.

- - - -

GRAINS/OILSEEDS/LIVESTOCK > INTERVIEW-Global ethanol output seen rising in 200 [nL08174656]

LONDON - Global ethanol output is expected to rise by one to two billion litres to around 42 billion in 2005 on growing demand for alternatives to fossil fuels, an analyst said on Monday.

- - - -

> German grain intervention offers reach 768,783 T [nL08584041]

HAMBURG - German farmers have offered a total of 768,783 tonnes of grain for European Union intervention subsidies, up from 745,066 on Friday, the state agricultural purchasing agency BLE said on Monday.

- - - -

> French union calls for port strike Tuesday [nL08664937]

PARIS - The French dockworkers' union said on Monday it had called for a one-day nationwide strike on Tuesday to defend jobs and press for more investment in the sector.

- - - -

METALS > UPDATE 4-S.African panel dismisses Gold Fields bid [nL08002909]

JOHANNESBURG - South Africa's securities regulator SRP on Monday turned down an application by Gold Fields Ltd for Harmony Gold's $7.12 billion hostile takeover bid to be declared unlawful, strengthening the bidder's hand, a Harmony executive said.

- - - -

> UPDATE 1-Coeur d'Alene loss widens on delays, cost [nN08452370]

CHICAGO - Coeur d'Alene Mines Corp. (/CDE.N) on Monday posted a wider third-quarter loss than a year ago as shipment delays pushed sales and profit into the current quarter.

- - - -

SOFT COMMODITIES > UPDATE 1-Ivory Coast conflict paralyses cocoa expo [nL08202042]

ABIDJAN - Leading cocoa exporters in Ivory Coast's main city Abidjan were closed on Monday as mob violence erupted after France destroyed most of the country's air force in retaliation for the killing of nine French peacekeepers.

- - - -

> UPDATE 1-German demand props up Tanzanian coffee p [nL08543280]

DAR ES SALAAM - Prices for top Tanzanian coffee, especially that grown on farms in the south, fetched higher prices at last week's auction, traders said on Monday.

- - - -

© Reuters 2004

08 Nov 2004 17:38

08.11.2004 17:34:13 Goldpreis auf hohem Niveau stabil

London, 08. Nov (Reuters) - Der Goldpreis hat sich am Montag angesichts des weiter schwachen Dollars weiter auf hohem Niveau gehalten.

Der Dollar scheine weiter verwundbar, erklärten Händler, und daher sei Gold weiterhin auf guten Weg, jene 440 Dollar pro Feinunze zu erreichen, die im Juli 1988 den Preishöhepunkt gebildet hatten. Auf dem Weg dahin könnte der Kurs aber noch einmal abbröckeln, da doch hohe Long-Positionen im Markt seien, die schnell einmal im Zuge von Gewinnmitnahmen aufgelöst werden könnten, erklärte ein Analyst von UBS in London.

Der Dollar sei momentan der einzige treibend Faktor im Spiel, hiess es weiter. Das zeigte sich auch am Montag als eine leichte Verbesserung des Dollarkurses sofort einen Rückgang im Goldpreis nach sich zog und das Edelmetall das Tagehoch von 435 Dollar im asiatischen Geschäft nicht halten konnte.

Auf einen etwas längeren Zeitraum betrachtet, konnte Gold auch von steigenden Ölpreisen und der globalen Unsicherheit profitieren, die auch Hedge Funds verstärkt ins Spiel brachte.

Zum Schluss des europäischen Geschäfts notierte Gold wenig verändert auf 432,30/80 (Freitagabend 432,35/433,10) Dollar. Das Nachmittagsfixing in London erfolgte bei 431,90 Dollar nach 432,95 Dollar am Morgen und 431,00 Dollar am Freitag.

Eine Schweizer Grossbank gab den Gold-Kilopreis mit 16.271/16.524 (16.330/16.580) sfr an.

Silber erreichte mit 7,51 Dollar ein Siebenmonatehoch und notierte gegen Geschäftsschluss mit 7,43/7,46 Dollar. Platinum notierte auf 844/848 Dollar.

ajs/och

08 Nov 2004 21:27

08.11.2004 20:52:21 NYMEX crude ends lower, eyes forecast stock build

NEW YORK, Nov 8 (Reuters) - NYMEX crude futures fell Monday on selling prompted by expectations that domestic crude inventories could have built up again last week.

Around midday, losses were pared briefly by news that a Nigerian blue-collar oil union threatened a "total strike" next week.

Traders turned cautious, however, after Nigerian authorities said workers who join next week's planned general strike would lose their jobs.

NYMEX December crude last traded 53 cents lower at $49.08 a barrel. It traded from as low as $48.60, near five-week lows, to $49.59. Support was charted at $48 with resistance at $50.

"The market is consolidating and could see more price downdraft here. There's no prime mover to move prices up," said Jim Ritterbusch, president of Ritterbusch & Associates in Galena, Illinois.

The umbrella union group Nigeria Labour Congress (NLC) has called the general strike for Nov. 16, the fourth this year, to protest against rising fuel prices at the pump.

Nigeria's unions often threaten to block production and exports in the days before strikes to put pressure on the government to concede ground, but rarely have the threats translated into a serious disruption.

Nigeria produces 2.4 million barrels per day of oil.

"Every little bit helps in terms of worrying about supply," said Steve Bellino, senior vice president for energy risk management at Fimat USA, commenting on the Nigeria strike threat and its midsession impact on prices.

In London, Brent December crude last traded 52 cents lower at $45.90 a barrel.

In the early going, NYMEX crude oil futures fell hard on early industry analysts' forecasts that crude stocks data due out on Wednesday would show another rise in domestic supplies.

The oil market's general decline from the record $55.67 struck on Oct. 25 has brought non-commercial crude positions to their lowest in a year as of Tuesday last week, Friday's Commodity Futures Trading Commission report on traders commitments showed.

"We think the energy markets are at an important crossroads. Fundamentals are calling for lower prices, while technicals are suggesting a contrarian bounce from slightly oversold levels," Edward Meir at Man Energy said in a daily report.

In the Gulf of Mexico, U.S. oil production as of Friday was at 87.5 percent of its normal rate of 1.7 million barrels per day, after repairs to damages due to September's Hurricane Ivan, the U.S. Minerals Management Service said.

Some 212,369 bpd of oil output remained shut, MMS said.

NYMEX December heating oil last traded 0.71 cent lower at $1.3670 a gallon, trading from $1.3510 to $1.3825. Resistance remains at $1.40 with support at $1.35.

The crack spread posted at $8.33, above Friday's $8.25. U.S. home
heating needs were 12 percent below normal last week, as mild weather held on in
the eastern and central parts of the country, the National Weather Service said
on Monday.

But colder weather is on the way, according to forecasters. In the U.S. Northeast, temperatures are forecast to average well below normal on Monday, near to normal briefly midweek, below normal late week and the weekend, according to private forecaster Meteorlogix.

NYMEX December gasoline last traded 1.18 cents lower at $1.2750 a gallon, trading between $1.2575 and $1.2850. Support remains at $1.25 with resistance at $1.30.

© Reuters 2004

09 Nov 2004 08:58

09.11.2004 08:47:57 TOCOM gold dips on New York decline but off lows

TOKYO, Nov 9 (Reuters) - Tokyo gold futures retreated slightly on Tuesday, hit by a decline in New York gold, but later recouped some losses on a modest recovery in bullion and a softer yen.

Players said trade was cautious, however, ahead of the U.S. Federal Reserve's policy-making meeting on Wednesday.

The benchmark October gold contract on the Tokyo Commodity Exchange (TOCOM) finished down one yen per gram at 1,475 yen, recovering from the day's trough of 1,466 yen.

The session high was 1,478 yen.

Other months fell by one to four yen.

Spot gold was at $432.60/3.60 an ounce at 0630 GMT, compared with $432.35/433.10 in New York.

"The (benchmark contract) at one point traded on the plus side ... but the market lacked the momentum to keep its gains and finish above yesterday's high of 1,479 yen," a Tokyo analyst said.

He said the dollar was seen likely to remain weak for the time being, although the currency market and news affecting it would be factors to watch out for.

These included the Fed meeting, which is widely expected to raise interest rates by 25 basis points to 2.0 percent, and U.S. trade figures for September, also due on Wednesday.

Gold futures in New York settled softer and below a 16-year high on Monday as traders cashed in recent gains while the dollar partly recovered above a fresh all-time low against the euro.

December-delivery gold on the New York Mercantile Exchange's COMEX division slipped 90 cents to $433.40 an ounce.

In the currency market, the dollar edged up against the yen as traders took a breather from recent heavy selling after the head of the European Central Bank warned against the single currency's rapid climb.

The dollar was fetching 105.70/5.73 yen at 0630 GMT, against 105.48 in late U.S. trade.

In contrast with gold, TOCOM platinum futures rose, boosted by firm spot prices, traders said.

Benchmark October platinum futures closed up 16 yen at 2,818 yen per gram after wavering between 2,799 and 2,827 yen.

Spot platinum was at $850/855, up from New York levels of $844.50/849.50 an ounce.

Total gold turnover was estimated at a moderate 52,258 lots, down from Monday's 57,430 lots.

Below are closing prices for TOCOM's most active precious metals contracts, with the day's turnover for each metal.

Closing prices are in yen per gram except for silver, which is in yen per 10 grams: For open interest details please click

Closing price Turnover (lots)
GOLD 1,475 (down 1) 52,258
SILVER 251.3 (down 2.2) 4,810
PLATINUM 2,818 (up 16) 35,548
PALLADIUM 740 (up 5) 593

10 Nov 2004 21:37

10.11.2004 20:15:22 NY gold settles below fresh 16-year high before FOMC

NEW YORK, Nov 9 (Reuters) - U.S. gold futures closed below contract and 16-year highs Wednesday, after traders hit the pause button on the recent rally as the dollar steadied before a U.S. Federal Reserve decision today on interest rates.

Gold's rally lost steam after news that the U.S. trade gap narrowed more than expected in September, knocking the euro off its morning all-time peak against the dollar at $1.3005 and limiting demand for gold from traders overseas.

December gold on the New York Mercantile Exchange's COMEX division fell $1.70 to $434.50 an ounce, after moving between $432.80 and $438.30 -- the highest price for an active futures contract since July 1988.

Gold remained strong, however, in its status as a hedge against political and economic uncertainty, analysts said, due to inflationary fears amid high oil prices, worries over fighting in Falluja, Iraq, and confusion over the fate of Palestinian leader Yasser Arafat.

Plus, a weak dollar has supported gold by making the dollar-denominated metal cheaper in foreign money. The greenback is close to a nine-year low against a basket of currencies.

The euro at midafternoon fell to around $1.2882.

Financial markets on Wednesday were awaiting the Federal Open Market Committee meeting's results at 2:15 p.m. EST. The FOMC was widely expected to raise official interest rates.

Frank Aburto, gold trader at F.C. Stone, said a quarter-point interest rate increase was already factored in to the gold market. A quarter point increase would take the benchmark federal funds rate to 2.0 percent.

Leonard Kaplan, president of Prospector Asset Management, said he had turned "modestly bullish" on gold after it popped higher out of its trading range last week.

Kaplan added he would look to buy on price dips, aiming for an upside target of $460.

But he warned: "I remain cautious as the 'breakout' in the gold market is due strictly and solely to the decline of the dollar and not an intrinsically bull market in gold."

Brokers pegged initial resistance in December gold futures at $440 and $450, with support seen around $430 and $425.

Spot gold last fetched $432.75/3.50, compared with Tuesday's New York close at $434.95/5.70. The afternoon fix in London was at $433.40.

On the economic front, record U.S. exports of $97.5 billion were behind a narrowing in the U.S. trade deficit to $51.56 billion in September, from a revised $53.55 billion in August, as the dollar's recent losses made the United States more competitive internationally.

As gold backpedaled, COMEX December silver sank 11.5 cents to end at $7.42 an ounce, after moving within a $7.555-to-$7.36 range. Spot priced at $7.34/37, versus $7.43/46 previously. The fix was at $7.50.

NYMEX January platinum lost $1.30 to $848.90 an ounce. Spot platinum hit $845.00/850.00.

Thinly traded December palladium slipped 40 cents to $215.05 an ounce. Spot palladium was at $210.00/216.00.

11 Nov 2004 09:57

11.11.2004 09:24:15 TOCOM gold up on dollar gains, hits one-month high

TOKYO, Nov 11 (Reuters) - Tokyo gold futures rose on Thursday as the dollar recovered from seven-month lows against the yen set earlier this week while the benchmark contract closed at a one-month high.

The benchmark October gold contract on the Tokyo Commodity Exchange (TOCOM) finished up 15 yen per gram at 1,490 yen, just one yen below the day's high.

That was the highest level for the benchmark contract since it touched 1,492 yen on October 12.

Thursday's trough was 1,486 yen.

Other months finished up 13-16 yen.

"It will occasionally dip in a correction, but I think the underlying market trend will be firm," a Tokyo analyst said.

He put the next resistance at 1,500 yen.

In New York, U.S. gold futures closed lower on Wednesday after the dollar steadied before the U.S. Federal Reserve's decision on interest rates.

In the spot market, bullion was fetching $432.50/3.25 an ounce at TOCOM's closing bell at 0630 GMT, compared with $432.75/433.50 last quoted in New York.

Spot gold traded in a tight range, but geopolitical concerns following the death of Palestinian President Yasser Arafat were expected to provide some support.

Investors turn to buying gold as a hedge against political and economic uncertainty.

Arafat, 75, was declared dead at a hospital in Paris on Thursday.

Total gold turnover was estimated at 87,371 lots, up from Wednesday's 64,231 lots.

In the currency market, the dollar was fetching 106.96/6.99 yen at 0630 GMT, against 107.15 yen in late New York trade.

The dollar has recovered significantly since Monday, when it sank to 105.28 yen, a seven-month low.

A larger-than-anticipated drop in the U.S. trade deficit in the September data and indications that the Federal Reserve would press on with raising interest rates boosted the U.S. currency.

Worries about the United States' ability to finance the huge deficit has been a major drive for the dollar's recent fall.

The Fed raised rates by a quarter percentage point, as widely expected, and said it expected to continue raising rates at a "measured" pace.

Elsewhere, platinum also rose briskly across the board on the firmer dollar.

Benchmark October platinum futures closed up 44 yen at 2,839 yen, after moving between 2,810 yen and 2,845 yen.

Spot dollar-based platinum was at $850/855, compared with New York levels of $845/850 an ounce.

Market players were also waiting for the release of Johnson Matthey's report on platinum supply and demand due next week.

Below are closing prices for TOCOM's most active precious metals contracts, with the day's turnover for each metal.

Closing prices are in yen per gram except for silver, which is in yen per 10 grams: For open interest details please click

Closing price Turnover (lots)
GOLD 1,490 (up 15) 87,371
SILVER 253.3 (up 1.3) 3,453
PLATINUM 2,839 (up 44) 46,765
PALLADIUM 736 (up 1) 746

Silber-Leasing-Rates immer noch sehr hoch...

11 Nov 2004 13:32

11.11.2004 13:30:51 Silver fixed lower, Europe gold consolidates gains

* Silver fixes lower at 741.50 cents from previous fixing at 750.00 cents. Spot market at 7.41/7.44 by 1220 GMT, up from $7.34/7.37 late on Wednesday in New York.

* Silver forward rates on Reuters page indicated at 2.055, 1.998, 1.963 and 1.788 for one, three, six and 12 months respectively.

* Spot gold little changed at $432.00/432.75 per troy ounce at 1220 GMT, compared with $432.75/433.50 quoted late in New York on Wednesday.

* Bullion seen consolidating after the previous session's volatility, which saw gold swing up briefly to a fresh 16-year peak at $437.25.

* Platinum rises to $849.50/854.50 from $845.00/850.00 last quoted in New York on Wednesday, while palladium stays flat at $210.00/216.00.

© Reuters 2004

11 Nov 2004 13:39

11.11.2004 12:54:59 Europe gold market consolidates near highs

LONDON, Nov 11 (Reuters) - Gold was steady in Europe on Thursday as it consolidated after an erratic previous session, when the price briefly touched a new 16-year peak at $437.25 an ounce, dealers said.

Spot gold was at $433.00/433.75 at 1055 GMT, compared with $432.75/433.50 quoted late in New York on Wednesday.

Trade was expected to be subdued due to the Veterans' Day holiday in the United States, but dealers said the market seemed prepared for another leg up.

Bullion gave way eventually on Wednesday to a firmer dollar after the U.S. Federal Reserve raised interest rates by a quarter percentage point and said it expected to continue raising rates at a measured pace.

"Everyone seems to be taking a breather with the U.S. holiday after yesterday's activity, but people are still dollar-bearish, gold-bullish," one dealer said.

Geopolitical concerns with fighting in Iraq and the death of Palestinian leader Yasser Arafat were seen keeping gold's safe-haven status intact, with added support from inflationary jitters sparked by high oil prices.

The dollar held gains above a record low of $1.3006 per euro after data showed the U.S. trade gap shrank.

A stronger U.S. currency tends to take the shine off dollar-denominated gold for non-U.S. investors, but analysts say the dollar's reprieve from recent lows looks limited.

"The Hindu Diwali and Muslim Eid Al Fitr holidays will slow some physical demand over the next couple of days, but good scaled down support should continue to be found from $430-25 while $440 still appears to be the market's upside target," James Moore of TheBullionDesk.com said in a daily report.

The market was last above $440 in mid-July 1988.

Silver continued to follow a similar pattern to gold after gaining sharply with bullion on Wednesday. Spot silver was last at $7.39/7.42, versus $7.34/7.37 in New York on Wednesday.

Platinum rose to $849.50/854.50 from $845.00/850.00 last quoted in New York on Wednesday, while palladium was flat at $210.00/216.00.

11 Nov 2004 16:35

11.11.2004 16:24:19 NY gold consolidates near flat early, mirrors euro

NEW YORK, Nov 11 (Reuters) - U.S. gold futures held firm but below prior 16-year highs in holiday-thinned trade Thursday morning, as the dollar was about unchanged versus the euro, which capped demand for the safe haven metal from traders overseas.

December gold on the New York Mercantile Exchange's COMEX division rose 20 cents to $434.70 an ounce by 10:00 a.m. EST, in a session range between $432.50 and $435.40.

"The euro is stuck in a range around $1.29 and gold is stuck with it," said a gold trader at an international bank.

Overall dollar weakness has propped up dollar-denominated gold, however, by making it cheaper to buy in foreign currencies.

The euro fetched $1.29 , versus $1.2882 late on Wednesday and that session's earlier all-time high at $1.3005.

Gold remained in consolidation mode, traders said, after the Federal Reserve on Wednesday raised benchmark interest rates by 25 basis points, as was widely expected by financial markets.

The Fed gave no clues on its next move, leaving traders uncertain whether more hikes would follow this year and if protests about euro strength from euro zone bankers will grow louder.

Meanwhile, Veterans' Day in the United States and Canada's Remembrance Day on Thursday thinned the market, dealers said.

U.S. equities rose but the bond trading was closed.

Investors have turned to gold as a haven amid inflationary fears in financial markets due to high oil prices, worries over fighting Iraq, and the uncertainty about the Middle East following the death of Palestinian leader Yasser Arafat.

Earlier on Wednesday, gold futures reached $438.30, the highest price for an active futures contract since July 1988.

"The Hindu Diwali and Muslim Eid Al Fitr holidays will slow some physical demand over the next couple of days, but good scale-down support should continue to be found from $430-425 while $440 still appears to be the market's upside target," said thebulliondesk.com in a daily note.

Spot gold priced at $433.45/4.20 an ounce, against $432.75/3.50 at Wednesday's close in New York and a 16-year high at $437.25 during that same session. Thursday's afternoon fix in London was at $433.80.

Silver firmed slightly as the market largely aped gold.

"Good support should continue to be found from $7.30-25, although the scale of speculative interest in silver continues to suggest a dip back to $7.15/7.00 at some stage in the near future," said thebulliondesk.com.

COMEX December silver rose 4.0 cents to $7.46 an ounce, trading from $7.40 to $7.49. Spot reached $7.42/45, above its last New York close at $7.34/37. London's fix was at $7.415 an ounce.

NYMEX January platinum gained $4.90 to $853.80 an ounce. Spot platinum went up to $850.00/854.00.

Illiquid December palladium lost $2.55 to $212.50 an ounce. Spot palladium drifted to $209.00/213.00.

© Reuters 2004

11 Nov 2004 21:54

11.11.2004 20:59:34 NY gold closes tad higher, consolidating gains

NEW YORK, Nov 11 (Reuters) - U.S. gold futures closed up slightly but below the prior 16-year peak on Thursday, as investor interest was dulled by a steady dollar in holiday thinned trade, dealers said.

December gold on the New York Mercantile Exchange's COMEX division finished at $435.40 an ounce, up 90 cents, after moving between $432.50 and $436.20. Estimated turnover was 40,000 contracts.

Veterans' Day in the United States and Canada's Remembrance Day on Thursday left trading conditions quiet, dealers said.

As the dollar stuck near even, gold consolidated following its volatile session Wednesday leading up to the Federal Reserve's decision to raise benchmark interest rates by 25 basis points, as was widely expected by financial markets.

An overall weak greenback against the euro, however, has propped up dollar-denominated gold by making it cheaper in foreign currencies.

"The euro is stuck in a range around $1.29 and gold is stuck with it," one gold trader at an international bank said.

By midafternoon, the euro was worth $1.2912 , versus $1.2882 late Wednesday and its all-time high at $1.3005.

Investors turn to gold as a haven due to economic uncertainty and geopolitical worries, recently heightened by fighting in Iraq and the death of Palestinian leader Yasser Arafat.

On Wednesday, gold futures peaked at $438.30, the highest price for an active futures contract since July 1988.

"The Hindu Diwali and Muslim Eid Al Fitr holidays will slow some physical demand over the next couple of days, but good scale-down support should continue to be found from $430-425, while $440 still appears to be the market's upside target," said thebulliondesk.com in a daily note.

Spot gold was last at $434.35/5.10 an ounce, up from $432.75/3.50 at the New York close Wednesday and that same session's 16-year high at $437.25. Thursday's afternoon fix in London was at $433.80.

COMEX December silver rose 5.7 cents to $7.477 an ounce, trading from $7.405 to $7.49. Spot traded up to $7.43/46 from $7.34/37 previously. The fix was $7.415.

NYMEX January platinum gained $5.70 to $854.60 an ounce. Spot platinum went up to $850.50/855.50.

December palladium advanced $1.10 to $216.15 an ounce. Spot palladium touched $212.00/217.00.

12 Nov 2004 09:06

12.11.2004 08:05:37 Gold inches up in Europe, platinum at 6-week high

* Gold was at $435.00/435.75 in early European trading by 0658 GMT on Friday, versus $434.35/435.10 last quoted in New York on Thursday.

* The bullion market watched currencies for direction with a weak dollar likely to provide some support. Dealers also said tension in the Middle East would encourage safe-haven buying.

The euro was at 1.2917 , up slightly from $1.2903 last quoted in New York.

* Platinum rose to $865/870 an ounce from $850.50/855.50 in New York, on speculative buying in Japan ahead of Tuesday's release of precious metals refiner Johnson Matthey's (/JMAT.L) 2004 interim report.

* Palladium was unchanged from New York's late quoted levels at $212/217 an ounce.

* Silver stood at around $7.47/7.49 an ounce, up from $7.43/7.46 in New York.

12 Nov 2004 09:07

12.11.2004 09:04:52 TOCOM gold eases, still near one-month high

TOKYO, Nov 12 (Reuters) - Tokyo gold futures closed a touch easier on Friday after the yen resumed its rise against the dollar, but the precious metal continued to hover at a one-month high, supported by steady bullion prices.

Platinum futures in Tokyo climbed to a 2-1/2-week high on speculative buying ahead of next week's release of a closely watched industry report on demand and supply.

The benchmark October gold contract on the Tokyo Commodity Exchange (TOCOM) finished down four yen per gram at 1,486 yen, after wavering between 1,483 yen and 1,492 yen.

The session high was the highest level marked by a benchmark contract since October 12.

"It topped 1,490 yen again today, which led to some profit-taking," one Tokyo analyst said.

Other months fell by one to four yen.

Spot gold was at $434.90/5.40 an ounce compared with $434.35/5.10 in New York.

In the currency market, the dollar was fetching 106.02/6.07 yen at TOCOM's close at 0630 GMT, compared with 106.63 yen in quiet trade in New York.

The yen rose against the dollar on Friday despite data showing Japanese economic growth came to a virtual standstill in the third quarter.

The Japanese currency rose nearly one yen from the day's low of 106.80 per dollar marked soon after data showed gross domestic product grew a real 0.1 percent in July-September from the previous quarter.

Economists had forecast growth of 0.5 percent.

Veterans' Day in the United States and Canada's Remembrance Day on Thursday left trading conditions quiet in North America.

December gold on the New York Mercantile Exchange's COMEX division finished at $435.40 an ounce, up 90 cents.

In the TOCOM platinum market, the benchmark October contract closed up 47 yen at 2,886 yen per gram, after moving in a range of 2,828 yen and 2,896 yen.

In the spot market, platinum hit a six-week high ahead of a key report that some market players speculated would lower its forecast for a platinum surplus.

Johnson Matthey, the world's top distributor of platinum and related metals, is due to release its 2004 interim report on Tuesday.

Spot platinum was at $867/872, up from New York levels of $850.50/855.50 an ounce.

Below are closing prices for TOCOM's most active precious metals contracts, with the day's turnover for each metal.

Closing prices are in yen per gram except for silver, which is in yen per 10 grams: For open interest details please click

Closing price Turnover (lots)
GOLD 1,486 (down 4) 55,006
SILVER 253.7 (up 0.4) 4,259
PLATINUM 2,886 (up 47 85,404
PALLADIUM 742 (up 6) 483

12 Nov 2004 10:45

12.11.2004 10:40:04 Copper jumps above $3,000 in early LME trade

* London Metal Exchange copper rises above $3,000 a tonne, the highest since October 13, on light short covering after sharp gains in Shanghai futures on Friday due to tight supply there. * Copper trades up $17 at $3,005/10 by 0928 GMT from Thursday's late kerb close. LME stocks fall by further 100 tonnes to 68,525 tonnes, the lowest since 1990. * Aluminium gains $4 to $1,790/94, while lead rises $2 to $942 and zinc jumps $13 to $1,102/06. * Nickel gains $25 to $14,025/125.

12 Nov 2004 13:35

12.11.2004 13:19:19 Silver fixed higher, gold firm near peaks

* Silver fixed firmer at 748.50 cents a troy ounce in London on Friday, up from the previous day's fix of 741.50 cents. Spot rises to $7.48/7.51 an ounce by 1206 GMT from New York's late quote on Thursday at $7.43/7.46. * Forward rates on Reuters page quoted at 1.788, 1.685, 1.840 and 1.673 for one, three, six and 12 months respectively. * Gold hovers just below Wednesday's 16-year peak of $437.25 an ounce, taking its cue from weaker dollar and shrugging off further drops in the oil price and ebullient stock markets. * Spot gains to $436.40/436.90 an ounce from New York's $434.35/435.10. Seen targeting $440, ahead of $450 and even $465 an ounce, but would need further dollar weakness to do so. * Platinum scores 10-week high at London fix of $868 an ounce. Far East speculators buy ahead of the release next week of a closely watched industry report, but lacks follow through in Europe. Spot last at $865.00/870.00 from $850.50/855.50. * Palladium bucks the firmer trend, dipping to $211.00/215.00 from $212.00/217.00.

12 Nov 2004 17:19

12.11.2004 17:15:22 Commodities News Summary

TOP NEWS
> Gold scores fresh 16-yr high, platinum strong [nL12121115]

LONDON - Gold squeezed out another 16-year peak on Friday afternoon in Europe at $437.40 per ounce, before shrinking back slightly with the euro after robust U.S. data took the shine off bullion for non-U.S. investors.

Dealers remained confident on chances of moving to $450 -- last seen in June 1988 -- as worries about a record U.S. current account deficit were expected to keep up pressure on the dollar.

- - - -

> U.S. corn, soy, cotton crops bigger, stocks too [nN1262720]

WASHINGTON, Nov 12 (Reuters) - A trouble-free harvest at the end of a nearly ideal growing season is making record-setting corn, soybean and cotton crops even larger than expected this year, the government said on Friday.

- - - -

> Huge, record-large U.S. crops to hit prices-panel [nN12159952]

CHICAGO - U.S. grain and soybean prices, already under pressure, should probe new lows after a government report Friday that predicted even bigger U.S. corn and soybean crops than the previous record estimates, a panel of grain analysts said at the Chicago Board of Trade.

- - - -

METALS
> Short covering and fund buying lifts LME copper [nL1224385]

LONDON - London Metal Exchange (LME) copper rose above $3,000 a tonne in Friday's midday rings, its highest in a month, as supply tightness encouraged fund buying and short covering against a backdrop of dollar weakness, traders said.

- - - -

> Noranda, zinc workers agree labor deal - union [nN1273369]

VANCOUVER, British Columbia - Unionized workers and management at Noranda Inc.'s (/NRD.TO) zinc refinery in Quebec have agreed on a tentative labor deal and a union official said members would be encouraged to accept the new three-year contract in a vote next Thursday.

- - - -

> StreetTRACKS gold fund seen in IPO next week [nN12342679]

NEW YORK - A new gold bullion-backed exchange-traded fund (ETF) is expected to debut on the New York Stock Exchange next week, according to a notification by Swiss bank UBS AG (/UBSN.VX) posted on Friday.

The initial public offering of the security, named streetTRACKS Gold Trust, will be approximately $100 million, according to a prospectus which appeared on industry Web site TheBullionDesk.com.

- - - -

> Harmony shareholders OK bid for Gold Fields [nL12004959]

JOHANNESBURG - Shareholders of Harmony Gold (/HARJ.J) voted overwhelmingly on Friday in favour of a hostile bid for South African rival Gold Fields Ltd (/GFIJ.J) and an increase in share capital to finance the $6.8 billion deal.

Harmony, the world's sixth-biggest gold producer, aims to create the top-ranking firm in the sector by buying Gold Fields, the fourth biggest producer with higher quality mines, in an all-share deal.

- - - -

SOFT COMMODITIES > Ivory Coast cocoa sector moves closer to normal [nL12541211]

ABIDJAN - Ivory Coast's cocoa sector moved closer to normal operations on Friday after the violence that brought it to a standstill earlier this week, industry figures in the world's biggest grower said.

- - - -

> ISO cuts 2004/05 world sugar deficit forecast [nL12279107]

LONDON - The International Sugar Organization (ISO) on Friday cut its forecast for the world's 2004/05 sugar deficit by around a million tonnes to 1.8 million.

- - - -

GRAINS, OILSEEDS, LIVESTOCK
> EU grain mountain starts to build again [nL1270719]

PARIS - Europe's publicly-funded grain stores have begun to swell again as abundant supplies and weak markets make the EU's fixed price intervention system attractive to many farmers, analysts said on Friday.

After last season's drought forced the EU to sell off its stocks, analysts believe farmers have now sold well over two million tonnes of grain into intervention stores since the start of November, with large amounts coming from Germany and Hungary.

- - - -

> Dutch re-open some farms after dioxin scare [nL12719899]

AMSTERDAM - The Dutch authorities on Friday re-opened 96 livestock farms out of nearly 200 it had sealed off as a precaution after discovering cancer-causing dioxin in animal feed.

12 Nov 2004 17:21

12.11.2004 16:58:07 UPDATE 1-Gold scores fresh 16-yr high, platinum strong

(updates to afternoon)

LONDON, Nov 12 (Reuters) - Gold squeezed out another 16-year peak on Friday afternoon in Europe at $437.40 per ounce, before shrinking back slightly with the euro after robust U.S. data took the shine off bullion for non-U.S. investors.

Dealers remained confident on chances of moving to $450 -- last seen in June 1988 -- as worries about a record U.S. current account deficit were expected to keep up pressure on the dollar.

Platinum was firm after speculative buying in the Far East, scoring its highest since early September during London's afternoon fixing session.

By 1540 GMT, spot gold was quoted at $435.80/436.30 a troy ounce, up from New York's late quote on Thursday of $434.35/435.10. The euro stood at $1.2919 after hitting a record high against the dollar earlier this week beyond $1.30.

"The dollar won some ground against the euro after retail sales came out broadly within expectations," a dealer said.

The U.S. government said retail sales in October grew 0.2 percent compared with an upwardly revised 1.6 percent increase in September. Economists forecast a 0.2 percent rise in October.

Traders said gold had been "remarkably resilient" this week given the fall in oil prices, although the metal was still hooked mainly into currency moves.

"We have seen good interest from funds, along with some bouts of profit-taking. But whenever we see that, new customers are stepping in," David Holmes, vice-president at RBC Capital Markets said.

Gold struggled for weeks to crack a band of selling at $430 an ounce before breaking through late last week, attracting another wave of fund buying despite an over-extended speculative long position on the New York market.

Analysts said improved sentiment was also linked to the imminent listing in New York of a new exchange-traded gold fund.

PLATINUM AT 10-WEEK HIGH

Speculative buying in the Far East ahead of the release next week of a key industry report from precious metal refiner Johnson Matthey took platinum to its highest since early September.

Platinum was fixed in London at $871.00 an ounce, while spot rose to $866.00/870.00 from New York's $850.50/855.50.

Alexander Zumpfe of Dresdner Kleinwort Wasserstein said lower than expected Chinese inflation data had also helped as it had dampened interest hike fears.

"That is therefore encouraging for future commodity demand out of the country," he said.

Palladium was little changed at $213.00/218.00 from $212.0/217.00, while silver firmed to $7.44/7.47 from $7.43/7.46.

12 Nov 2004 17:47

12.11.2004 17:46:34 Europe gold ends just off new 16-yr peak

* Gold finishes on a strong note on Friday in Europe, closing just below a fresh 16-year peak as the weaker dollar attracted fresh buying. * Spot finishes at $437.20/437.70 an ounce by 1615 GMT gaining on New York's late quote on Thursday of $434.35/435.10. Scores fresh peak at $437.40 an ounce. * Seen targeting $440, ahead of $450 and even $465 an ounce. * Spot silver rises to $7.54/7.57 an ounce by 1632 GMT from New York's $7.43/7.46. * Platinum scores 10-week high at London fix of $871 an ounce. Far East speculators buy ahead of the release next week of a closely watched industry report, but lacks follow through in Europe. Spot last at $866.00/870.00 from $850.50/855.50. * Palladium at $213.00/218.00 from $212.00/217.00.

12 Nov 2004 18:58

12.11.2004 18:41:49 Gold auf neuem 16-Jahres-Hoch

London, 12. Nov (Reuters) - Gold ist am Freitag auf ein neues 16-Jahre-Hoch gestiegen. Obwohl robuste US-Daten am Nachmittag dem gelben Edelmetall etwas von seiner Attraktivität genommen hatten, rückt nach Angaben von Händlern nun der zuletzt im Juni 1988 erreichte Rekord von 450 Dollar je Feinunze in Reichweite.

Im europäischen Handelsverlauf stiess Gold mit 437,40 Dollar den am Mittwoch erreichten Höchststand von 437,25 Dollar vom Sockel, fiel bis Handelsschluss aber leicht auf 437,20/437,70 ab, nach 433,75/434,50 je Feinunze am Vorabend. Das zweite Fixing in London erfolgte bei 436,05 nach 436,90 Dollar am Vormittag. Am Donenrstagnachmittag war Gold bei 433,80 Dollar gefixt worden.

Die anhaltende Unsicherheit in Anbetracht des US-Doppeldefizits sollten den Dollar weiter unter Druck setzen, wovon das in der US-Währung gehandelte Gold profitieren sollte, so Händler. Die im Rahmen der Erwartungen ausgefallenen Einzelhandelsumsätze im Oktober haben den Dollar am Nachmittag aber zunächst etwas Luft verschafft. Das Interesse von Seiten der Fonds sei ungebrochen gut, und bei Gewinnmitnahmen sei stets ein neuer Käufer zur Stelle, hiess es weiter.

Technisch gesehen könne Gold seinen Höhenflug bis 450 Dollar fortsetzten, nachdem mit dem schwierigen Durchbruch bei 430 Dollar die Widerstandsmarken nun gefallen seien.

Eine Schweizer Grossbank gab den Gold-Kilopreis mit 16.405/16.655 (Vorabend 16.324/16.578) sfr an.

pma/och