Beiträge von GoldenCentury

18 Jan 2005 14:33

18.01.2005 13:11:40 Silver fixes weaker, Europe gold flat

* Silver fixed slightly lower in London on Tuesday at 658.00 cents a troy ounce, compared with the previous day's 659.50 cents an ounce. Spot unchanged from Europe's late quote on Monday at $6.57/6.60 by 1205 GMT. Forward rates on Reuters page indicated at 2.205, 2.215, 2.278 and 2.152 respectively. * Gold holds steady at $422.25/423.00 an ounce, unchanged from late levels in London the previous day. Awaiting direction from New York futures market which reopens after a long weekend. * Gold seen sliding if the euro dips under $1.30. Traders waiting for the release at 1400 GMT of U.S. capital flows data for November. Also eyeing a meeting by U.S. Fed Reserve chiefs later today. * Platinum edges up to $856.00/860.00 from $853.00/858.00. * Palladium at $180.00/184.00, down $1.

18 Jan 2005 13:06

18.01.2005 11:56:28 Europe gold to keep low profile, eyes dollar

LONDON, Jan 18 (Reuters) - Gold was little changed in Europe on Tuesday morning, with activity seen remaining subdued until the U.S. market reopens after a long weekend, although a bounce in the dollar could keep prices under light pressure.

Traders said they were waiting to hear from a meeting of U.S. Federal Reserve officials later in the day, which may add to recent signals that the United States could accelerate the pace of interest rate increases.

Such talk would buoy the dollar's attractiveness and suck money out of commodities, which become relatively more expensive when the dollar firms.

"We're waiting to see what the governors say later today, which is expected to be dollar bullish," said Simon Weeks, director of precious metals at ScotiaMocatta.

"Gold, I think ultimately, will go lower, but I think at the moment there are too many people looking for it to go up, so we'll probably stick around the low $420's for the time being."

Spot gold was quoted at $422.40/422.90 a troy ounce by 1014 GMT, barely changed from late levels in London on Monday of $422.00/422.50 an ounce.

That compares with New York's late quote on Friday of $422.70/423.20.

Analysts expected gold to come under increasing pressure if the euro fell back and stayed under $1.30 against the dollar. It was last trading around $1.3024, having earlier dipped to its lowest since November at $1.2996.

Traders were also waiting for closely-watched U.S. capital flows data for November, due out at 1400 GMT.

Although gold is lacking momentum to the upside, traders and analysts said sentiment pointed to higher prices, with many noting another signficant fall in speculative long positions last week had left the funds with ample room to restock if they so desired.

Others pointed to a solid band of support at $419-$415 around a recent 2-1/2 month low at $416.15 an ounce, noting good demand from the physical sector at current levels.

Silver was at $6.56/6.59, barely changed from both New York's Friday quote and Europe's close on Monday at $6.57/6.60.

Platinum edged up to $856.00/860 an ounce from London's previous $853.00/858.00, while palladium slipped to $180.00/184.00 from $181.00/186.00.

© Reuters 2004

18 Jan 2005 10:05

18.01.2005 08:43:19 Tokyo gold ends up for 1st time in 2005, trend weak

TOKYO, Jan 18 (Reuters) - Tokyo gold futures closed higher on Tuesday for the first time this year, snapping a seven-day losing streak on a technical rebound that reflected the yen's slight fall against the dollar and solidness in the spot bullion price.

But the underlying trend for gold remained bearish as the dollar's recovery against the euro weighed on overall sentiment, and with technical charts suggesting the metal was still in a downtrend, traders said.

The benchmark gold contract on the Tokyo Commodity Exchange (TOCOM) has closed down from the previous session since the start of the year, except on Jan. 5, when it was unchanged.

The gold contract has dropped about 6.5 percent from the last time it posted a gain on Dec. 28 -- the last trading day on TOCOM in 2004.

"Gold is in a slight corrective phase after a sharp fall yesterday and repeated drops since the start of the year," said Shuji Sugata, assistant manager Mitsubishi Corp. Futures Ltd.

"The trend is especially weak for Tokyo gold in the present situation where the dollar is turning strong against the euro, while the dollar is broadly weak against Asian currencies, including the yen."

The benchmark December TOCOM gold contract closed 10 yen higher at a session high of 1,399 yen per gram. On Monday, it dropped as low as 1,385 yen -- the lowest level marked around the end of July.

Other contracts closed 10 to 13 yen higher.

Spot bullion found some support from bids from jewellery makers and appetite from investors for physical gold, but the dollar-based gold struggled given the dollar's latest recovery against the euro.

At 0657 GMT, spot gold was quoted at $422.20/2.70 an ounce against $422.00/$422.50 in London. U.S. markets were closed for Martin Luther King Jr. Day on Monday.

Some TOCOM traders covered their positions on relief that the yen's strength was limited. The Japanese currency pulled back from a five-year high of around 101.70 against the dollar the previous day.

The dollar was at $1.3044/46 against the euro , up slightly from late European trade on Monday and around 4.6 percent above a record low of $1.3670 hit in December.

But the market was still unclear about the outlook of the dollar/yen rate.

Traders were also awaiting U.S. capital flows data later in the day and inflation figures later in the week for indications of the trend of the dollar.

Platinum futures rose in line with gold, but stayed range-bound amid a dearth of trading factors.

TOCOM platinum futures for December delivery closed up 5 yen per gram at 2,745 yen. Other contracts closed up 6 to 23 yen.

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 1,399 (up 10) 76,613
SILVER 216.5 (up 0.9) 1,920
PLATINUM 2,745 (up 5) 21,980
PALLADIUM 600 (down 6) 759

17 Jan 2005 18:56

17.01.2005 17:35:12 Commodities News Summary

TOP NEWS
> UPDATE 3-S.Africa backs UK IMF gold plan for debt [nL17664429]

CAPE TOWN - The world's biggest gold producer South Africa backs a British proposal to use IMF gold reserves to write off the debts of poor countries, Finance Minister Trevor Manuel said on Monday.

- - - -

> UPDATE 2-EU cereals harvests to fall in 2005, then [nL17700735]

BRUSSELS - EU cereals harvests may fall sharply this year as farmers increase the amount of land they must leave fallow, but will then resume expanding until 2011, the EU executive said on Monday.

- - - -

> Bird flu spreads across Vietnam, new cases suspect [nHAN288258]

HANOI - One man died of suspected bird flu in Vietnam over the weekend and three people were hospitalised as news reports showed the virus has spread across the entire country.

- - - -

> UPDATE 1-Chile's 2004 copper exports soar 91 perce [nN178398]

SANTIAGO, Chile - Chile, the world's top producer of copper, on Monday reported its exports of the red metal rose 91 percent to $14.344 billion in 2004, as prices soared due to strong demand, especially from Asia.

- - - -

* Gold ends European trading marginally weaker at $422.00/422.50 a troy ounce by 1615 GMT, compared with New York's close on Friday at $422.70/423.20.

- - - -

> LME copper holds steady in first PM rings [nL1741353]
* London Metal Exchange copper remained firm in Monday's first
afternoon rings after gaining about one percent on Chinese
buying in early morning trade, lifting other metals.

- - - -

METALS > Flat-TV metal indium climbs to $900/kg on scarcity [nL17569079]

LONDON - Indium prices were hovering on Monday around their highest since 1939 on dwindling supply of the hi-tech metal used mainly in liquid crystal display (LCD) television and computer screens.

- - - -

> INTERVIEW-Italian jewellery sector faces tough com [nL17668233]

VICENZA, Italy - Italy's jewellery sector is in critical phase after a stop and go export year in 2004, with manufacturers seeking new ways to maintain market share as fierce competition from emerging nations bites, a senior industry official said.

- - - -

> UPDATE 1-Kazakhmys targets higher output but cool [nL17709100]

ALMATY - Kazakh copper corporation Kazakhmys said on Monday it expected to increase refined copper output by nearly eight percent to 460,000 tonnes this year and would focus on developing its ore base rather than acquisitions.

- - - -

> UPDATE 1-Glamis targets votes from Goldcorp invest [nN1745700]

VANCOUVER, British Columbia - Glamis Gold Ltd. (/GLG.TO) tried to make it easier on Monday for Goldcorp Inc. (/G.TO) shareholders to vote no to a union with Wheaton River Minerals Ltd. (/WRM.TO), which Glamis needs to go on with its rival bid for Goldcorp.

- - - -

> UPDATE 2-Angloplat says annual profit rise to lag [nL17693421]

JOHANNESBURG - Annual attributable profit at the world's number one platinum producer Angloplat (/AMSJ.J) will rise less than during the first half amid effects of a strike, a closed smelter and more dividends on new preference shares, the firm said on Monday.

- - - -

> Europe aluminium premiums seen steady, stocks fall [nL17689491]

LONDON - European aluminium premiums are likely to pick up later this month when business starts to revive amid lower stocks in the region due to higher freight rates and firmer U.S. premiums, traders said on Monday.

- - - -

> Peru Limamayo auction falls flat a second time [nN1746814]

LIMA, Peru - Peru's Limamayo copper deposit auction flopped for the second time in three months on Monday as only one bidder turned up and presented an invalid check that organizers rejected, officials said.

- - - -

> Boliden says cancels sale of Swedish lead smelter [nSAT001794]

STOCKHOLM - Swedish mining and smelting firm Boliden (/BOL.ST) said on Monday it had cancelled the sale of its Bergsoe lead smelter in the south of Sweden.

- - - -

GRAINS/OILSEEDS/LIVESTOCK
> Home-made biofuels are best -UK green groups [nL17619493]

LONDON - Countries need to be producing their own biofuels such as ethanol because importing green energy can damage the environment, UK lobby groups say.

- - - -

> UPDATE 1-German winter wheat plantings up, rye fal [nL1740486]

HAMBURG - German winter wheat plantings for harvesting this year have risen 2.2 percent to 3,122,000 hectares while rye plantings fell 10.3 percent to 559,000, preliminary government statistics showed on Monday.

- - - -

> Germany seeking to cut dioxin in free range eggs [nL17677995]

HAMBURG - Germany has called for higher environmental standards on farms after free-range eggs were found to be tainted with the cancer-causing chemical dioxin.

- - - -

> UPDATE 1-S.Korea's Nonghyup Feed to seek corn, oth [nSEO265599]

SEOUL - South Korea's Nonghyup Feed Inc. issued tenders to buy 52,500 tonnes of corn, a maximum of 76,000 tonnes of soymeal and 10,000 tonnes of rapeseed meal for feed production, traders said on Monday. The tenders will close at 5:00 p.m. (0800 GMT) on Tuesday, traders said.

- - - -

> INTERVIEW-Soft prices to lift India's soy oil impo [nBM292765]

BOMBAY - India's soy oil imports are set to grow sharply this year due to lower global prices, but edible oil imports by the world's largest buyer should be below earlier estimates due to a good summer oilseeds crop, a top trade official said on Monday.

- - - -

> EU food safety agency to assess first GMO crops [nL17674077]

BRUSSELS - The EU's food safety agency should give its first risk analysis this year of live genetically modified (GMO) crops -- an issue that has split the bloc's membership down the middle.

- - - -

SOFT COMMODITIES > UPDATE 2-Ivorian cocoa arrivals slow due to low pr [nL17692345]

ABIDJAN - Cocoa arrivals at ports in Ivory Coast by early January are still lagging behind last year's levels, estimates of leading exporters showed on Monday, as low farmgate prices weigh on purchases of beans in the bush.

- - - -

STEEL NEWS
> World steel market seen buoyant to 2006 - OECD [nL171969]

PARIS - The world steel market was expected to remain buoyant this year and next, encouraging capacity growth and further industry consolidation, the OECD said on Monday.

- - - -

> UPDATE 1-Kumba CEO confident of strong iron ore pr [nL17714354]

JOHANNESBURG - The chief executive of South Africa's biggest iron ore producer Kumba Resources (KMBJ.BE) said on Monday he was confident of a higher increase in iron ore prices in 2005 than last year's.

- - - -

17 Jan 2005 14:51

17.01.2005 13:38:00 Silver fixed slightly down, gold steady in Europe

* Silver was fixed marginally lower in Europe on Monday at 659.50 cents a troy ounce versus Friday's 663.00 cents. Spot ticks up to $6.59/6.62 an ounce by 1232 GMT from New York's late quote on Friday at $6.57/6.60. Forward rates on Reuters page indicated at 2.382, 2.386, 2.428 and 2.254 for one, three, six and 12 months respectively. * Gold quietly steady, expected to trade quietly within range with New York's COMEX futures market shut for Martin Luther King Jr. Day. Slips to $422.25/423.00 a troy ounce versus $422.70/423.20 in late New York trade on Friday. * Platinum edges down to $853.00/858.00 from $854.00/857.00. * Palladium unchanged at $182.00/187.00.

17 Jan 2005 14:37

17.01.2005 13:26:28 Europe gold seen steady in range, tracks dollar

LONDON, Jan 17 (Reuters) - Gold prices were largely unchanged on Monday in Europe, tracking a range-bound dollar/euro as traders forecast quiet conditions with the U.S. market closed.

Spot gold had dipped to $422.25/423.00 a troy ounce by 1207 GMT, versus New York's late quote on Friday at $422.70/423.20.

Analysts said gold would continue to take its lead in the short term from currency moves.

The dollar held within recent ranges against the euro, some five cents above December's record low, trading at $1.3097/99.

"Generally, the dollar continues to be the major source of influence with traders also talking of the potential for a short-term bounce," Barclays Capital said in a daily report.

The bank said the underlying trend still appeared to be lower, noting an overhang of stale long positions were casting a shadow over the market.

However, several other analysts pointed out that significant long liquidation had already taken place this year, noting the net long position on New York's COMEX gold futures had last week declined to its lowest since mid-August 2004.

"The release of the COTR (Commitments of Traders Report) on Friday vindicates our view that the sell-off in gold has gone far enough and we expect gold to rally, both in euro and U.S. dollar terms," said John Reade of UBS Investment Bank in a report.

Gold had tumbled nine percent from December's 16-1/2-year peak when it bottomed at $416.65 in early January.

It has since been confined to a $418-427 trading range, which most traders see remaining in place for now.

The New York COMEX market is shut on Monday in observance of Martin Luther King Day and will re-open for business on Tuesday.

IMF GOLD
Analysts also noted a proposal by the world's biggest gold producer South Africa to back a British proposal to use IMF gold reserves to write off the debts of poor countries.

South African Finance Minister Trevor Manuel told Reuters on Monday that revaluing of the International Monetary Fund's gold was "very necessary".

He also said South Africa was not against selling the institution's gold reserves as long as this was managed to avoid swings in the bullion price.

Under a 1971 agreement, most IMF gold is valued at just $40 to $50 an ounce, about a tenth of the current market price of gold.

Bearish gold analysts said the fact that actual gold sales were now being considered was significantly more bearish for the gold market than a paper revaluation.

More bullish analysts still thought that, as in 1999, it would be impossible to gain a consensus on outright IMF gold sales, but said revaluation was a possibility.

Other metals were largely stagnant, with silver edging up to $6.59/6.62 from $6.57/6.60. Platinum slipped to $853.00/858.00 from $854.00/857.00, while palladium was unchanged at $182.00/187.00.

17 Jan 2005 10:13

17.01.2005 08:56:48 Tokyo gold tumbles to five-month low on strong yen

TOKYO, Jan 17 (Reuters) - Tokyo gold futures tumbled to a 5-1/2-month low on Monday as the strength of the yen helped push key contracts below a closely watched support level, which then triggered substantial liquidation.

Gold contracts on the Tokyo Commodity Exchange (TOCOM) plunged below the 1,400-yen-level across the board for the first time since Aug. 3, triggering large stop-loss sell orders.

"The yen's latest rise to the 101-yen level (versus the dollar) has had a big psychological impact on the market," said Tatsuo Kageyama, an analyst at Kanetsu Asset Management.

"The technical trend looks very bearish now and prices could fall even further in this mood."

The December TOCOM gold contract closed down 15 yen per gram at 1,389 yen from Friday's settlement of 1,404.

The contract dropped to a session low of 1,385 yen -- the lowest since July 28.

Other contracts closed down by 16-19 yen.

"Dollar-based gold continues to be supported but the yen's rise is clearly making (yen-based) investors very keen about unwinding their positions," said a metals section manager at a Japanese trading house.

"The market is in a downward test focusing closely on the yen."

At 0630 GMT, spot bullion was quoted at $421.00/1.75 an ounce compared with $422.70/3.20 last traded in New York on Friday.

The strong spot bullion and firmness in COMEX gold futures have supported TOCOM prices, but yen-based players are closely watching the strength of the Japanese currency.

A stronger Japanese currency makes yen-denominated gold cheaper in export markets, which usually drives TOCOM prices lower, traders said.

December TOCOM gold has dropped nearly 8 percent from a 12-year high of 1,505 yen per gram marked on Dec. 2.

The yen held near a five-year high versus the dollar after comments by European Central Bank (ECB) officials last week that were seen as urging China to revalue its yuan currency.

The dollar was at 102.12/15 yen after falling to a fresh five-year low around 101.80 yen on Friday. It dropped as low as 101.87 in Asia on Monday.

"Market bears could further drive down TOCOM gold, but they will be careful about selling too heavily based simply on forex ahead of the G7 meeting," Kageyama said.

Finance ministers and central bankers from the Group of Seven (G7) countries will meet on Feb. 4-5.

Falls in gold dragged down other precious metals prices.
TOCOM platinum futures dropped to a 1-½ week low,
but the white metal continued to lack clear direction, with the
key distant contract locked in a range between 2,700 to 2,800 yen
per gram for the past one month.

The December contract closed down 20 yen at 2,740 yen. It had moved in a range of 2,728 to 2,750 yen. Other contracts closed down by 18 to 31 yen.

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 1,389 (down 15) 110,532
SILVER 215.6 (down 5.6) 4,492
PLATINUM 2,740 (down 20) 37,555
PALLADIUM 606 (down 14) 942

14 Jan 2005 14:44

14.01.2005 12:59:42 Gold dips in Europe as dollar extends gains

LONDON, Jan 14 (Reuters) - Gold fell in Europe on Friday morning, with sentiment stifled after Washington's pledge for a tighter budget held back worries over ballooning U.S. deficits and boosted the dollar, dealers said.

Spot gold fell to $421.50/422.00 by 1154 GMT from $424.35/425.10 in late New York trade on Thursday. Bullion was fixed on Friday morning at $421.70.

"The market is fairly quiet today and looking a bit vulnerable on the dollar -- it will be interesting to see what happens when the New York market opens but I don't see it dipping below the $416 area," one dealer said.

Trade was expected to be thin in New York ahead of a long weekend for the Martin Luther King holiday on Monday.

The dollar surged on Friday after a senior Federal Reserve official hinted the United States could accelerate the pace of raising interest rates and Washington pledged a tighter budget and strong dollar policy. The euro was last at $1.3112.

St. Louis Federal Reserve President William Poole told Reuters that the central bank would not hesitate to depart from its pace of measured interest rate increases if necessary.

Higher interest rates tend to boost demand for dollar deposits and dent that of dollar-priced gold for non-U.S. investors.

However, analysts were still pointing to higher gold prices further out as they expected the fiscal, current account and trade deficits to continue adding downward pressure to the greenback.

Despite the rally in the dollar, the dollar-denominated gold price continues to hold up quite well.

"We continue to view the recent sell-off in gold as a temporary phenomenon and that once the correction in the dollar is done, gold will rally," John Reade of UBS Investment Bank said in a daily report.

Consultancy GFMS said on Thursday that it expected gold to average $447 an ounce in the first half of this year, with the market recovering from a wobbly start as the dollar's overall downtrend is resumed.

Silver followed gold lower to $6.65/6.68 from $6.71/6.74

Platinum dipped to $855.00/860.00 from $857.50/862.50, while palladium eased to $183.00/187.00 from $185.00/191.00.

14 Jan 2005 14:41

14.01.2005 13:22:55 Silver fixed lower, gold eases in Europe

* Silver fixed at 663.00 cents an ounce, down from Thursday fix of 670.75. Spot eases to $6.63/66 from $6.71/6.74 late in New York, pulled back by gold.

* Silver forward rates on Reuters page indicated at 2.193, 2.197, 2.162 and 2.012 for one, three, six and 12 months respectively. * Gold at $420.50/421.75 a troy ounce by 1215 GMT, versus $424.35/425.10 in late New York trade on Thursday, easing as dollar extends gains against the euro . * Platinum edges down to $855.00/859.00 from $857.50/862.50. Palladium at $183.00/187.00 from $185.00/191.00.

14 Jan 2005 09:44

14.01.2005 08:10:37 TOCOM gold hits new 4-month low on weak spot market

TOKYO, Jan 14 (Reuters) - Tokyo gold futures dipped to a fresh four-month low on Friday, reflecting losses in the spot market amid the dollar's rebound against the euro, brokers said.

The December 2005 gold contract on the Tokyo Commodity Exchange (TOCOM) slid as low as 1,403 yen, the lowest for TOCOM's benchmark gold since September 8.

At the close it was down seven yen at 1,404, with other months losing six to 11 yen.

"Buying interest in TOCOM was weak because bullion prices were capped," a Tokyo broker said.

Spot gold was quoted at $422.60/423.10 an ounce at 0630 GMT, down from $424.35/425.10 in late New York.

A higher dollar against the euro is negative for dollar-based gold prices, as bullion becomes more expensive for European investors. A stronger dollar also weakens the safe-haven appeal of the yellow-metal.

The broker also said TOCOM participants were concerned about the yen's further rise against the dollar, after the European Central Bank (ECB) said Asian currencies needed to appreciate.

A higher yen has the effect of reducing yen-based gold prices.

TOCOM gold also looks vulnerable as stop-loss selling is expected to emerge if the benchmark contract breaks the psychologically important 1,400 yen level, another broker said.

"The contract could fall as far as 1,375 yen if it breaks the 1,400 yen mark," he added.

In the currency market, the euro was at $1.3111/14 at 0630 GMT, down from $1.3224 in late New York trade.

Against the yen, the dollar was at 102.96/103.01 at 0630 GMT, against 102.38 in late New York. It hit a five-year low of 101.83 yen in early December.

The dollar jumped against the euro on Friday, building on overnight gains made after the ECB reiterated that Asian currencies should be more flexible, taking pressure off the single currency to climb.

ECB President Jean-Claude Trichet indicated on Thursday that the consensus within the Group of Seven industrial powers was that emerging Asian currencies needed to appreciate.

In the platinum market, the benchmark December contract closed down five yen per gram at 2,760, after trading between 2,749 and 2,773.

Other months lost six to 10 yen.

Spot platinum was quoted at $857/862 an ounce at 0630 GMT, little changed from $857.50/862.50 in late New York.

Brokers said TOCOM platinum needs fresh fundamental incentives to get out of the 2,700-2,800 yen range, where the market has been stuck since Dec. 13.

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 1,404 (down 7) 89,175
SILVER 221.2 (up 1.0) 2,492
PLATINUM 2,760 (down 5) 27,630
PALLADIUM 620 (unchanged) 1,130

13 Jan 2005 21:44

13.01.2005 21:24:06 NY gold settles a touch lower on dollar's rebound

NEW YORK, Jan 13 (Reuters) - U.S. gold futures drifted lower on Thursday as the dollar inched up after a double dose of U.S. economic data that, on balance, pointed to less economic strength than forecast, dealers said.

Gold prices initially fell overnight, after three straight days of gains, on profit-taking in Asia.

Its next move was seen linked to the euro/dollar's moves, players said, with trade expected to be thin before a U.S. holiday weekend. A firm greenback usually pressures gold, as it become more expensive for non-U.S. investors.

"The market has backed off, but volume is pretty light," said James Quinn, commodity commentator at AG Edwards & Sons. "We have an early close tomorrow and we're closed on Monday."

Quinn said a firmer dollar was suggesting sideways to lower gold prices for the short term.

Gold for February delivery lost $1.50 to end at $425.10 an ounce on the New York Mercantile Exchange's COMEX division, after trading from $427.30 to $423.60.

New York metals will shut early at around 1200 EST (1700 GMT) on Friday and will stay closed on Monday for Martin Luther King Jr. Day.

Spot gold last changed hands at $424.35/5.10 an ounce, off from Wednesday's New York closing level at $425.65/6.40. Thursday's late London fix was at $423.60.

The dollar was moderately higher after December U.S. retail sales were reported to have risen 1.2 percent, higher than economists' forecasts for up 1.0 percent. But excluding autos, sales rose 0.3 percent, undershooting forecasts for up 0.4 percent.

Jobless claims for the latest week were 367,000, above economists' expectations for 340,000.

Midafternoon in New York, the euro was hardly changed from the morning at $1.32, versus $1.3225 before the U.S. data, and off from levels late Wednesday.

Gold hit a one-week high Wednesday at $428.30 as the dollar fell on news that the U.S. trade deficit had widened to a record $60.3 billion in November.

Analysts said gold traders were now focused on Friday's U.S. Producer Price Index for December, which is expected down 0.1 percent.

Consultancy GFMS said gold should recover from a choppy start to 2005 to average $447 in the first half of the year, as renewed fund and speculative buying emerge in the market.

Merrill Lynch said in a report that gold has been pushed lower by weaker fabrication demand since Christmas and by a cutback in speculative interest recently, in addition to a recently stronger dollar.

However, based on two factors, including Merrill's view that the euro will strengthen to $1.39 by May and stronger fabrication demand will emerge in the Indian wedding season (March to May), the firm forecast gold would top $450 over the next several months.

COMEX March silver edged up 0.2 cent to $6.745 an ounce, after dealing from $6.77 to $6.68. Spot silver traded to $6.71/74, near its last late New York quote at $6.70/73. It fixed higher at $6.7075.

NYMEX April platinum rose $1 to $861.50 an ounce. Spot platinum was at $857.50/862.50.

March palladium fell $3.20 to $189 an ounce. Spot hit $185/191.

13 Jan 2005 20:07

13.01.2005 19:48:58 TECHNICALS - COMEX/NYMEX metals technical indicators

GOLD SILVER PLATINUM PALLADIUM COPPER
FEB MAR APR MAR MAR

Close Jan. 13 $425.10 $6.745 $861.50 $189.00 138.10
High 427.30 6.775 866.50 191.00 140.40
Low 423.60 6.680 859.00 188.00 137.60

5-DAY M.A. 422.70 6.606 854.70 190.52 138.43
20-DAY M.A. 434.10 6.733 850.10 186.08 140.74
50-DAY M.A. 439.40 7.200 851.60 202.24 138.53

9-DAY R.S.I. 44.35 65.75 63.62 51.16 42.91
14-DAY R.S.I. 39.41 54.70 59.67 50.95 44.65

Note: Data calculated from previous close. Previous high and low include ACCESS trading from previous session. Indicators are based on the time periods recommended by their developers or commonly used by technical analysts. Moving averages are simple moving averages. RSI formulas include a smoothing factor utilizing an exponential moving average (EMA), determined to be the industry standard. All calculations can be made using Reuter Graphics or Reuter Technical Analysis products.

Contract High 458.70 8.280 884.00 250.00 147.75
Contract Low 331.50 4.850 804.00 170.60 74.40
First Notice Day Jan 31 Feb 28 Apr 01 Mar 01 Feb 28
Expiry Date Feb 24 Mar 29 Apr 27 Mar 29 Mar 29

BULLISH CONSENSUS ON Janaury 11: 24 Month Range
Low Hi
Gold 65 from 68 on January 04 13 - 91
Silver 55 from 51 on January 04 13 - 89
Platinum 69 from 66 on January 04 14 - 95
Copper 69 from 65 on January 04 08 - 88

* Bullish Consensus, Copyrighted, Market Vane Corporation, P.O. Box 90490, Pasadena, CA 91109-0490. Phone +1 626 395 7436. The survey expresses a percentage of bullish sentiment among analysts and advisors. The company said 50 percent is considered support in a bull market and resistance in a bear market. Data are most recent available.

13 Jan 2005 18:11

13.01.2005 17:00:05 Commodities News Summary

TOP NEWS
> NY gold slips then holds lower early on firm dolla [nN13384520]

NEW YORK - U.S. gold futures fell before steadying on lower ground early Thursday morning as the dollar pared gains following a double dose of U.S. economic data that, on balance, pointed to less economic strength than forecast.

Gold dipped overnight after three straight days of gains, due to profit-taking in Asia, with trade seen on the thin side and guided by currency moves before a U.S. holiday weekend, dealers said.

- - - -

> Gold retreats in Europe as euro surge fades [nL13386033]

LONDON - Gold cooled off slightly on Thursday in Europe from a one-week peak reached in the previous session as the dollar rallied against the euro, dealers said.

- - - -

> Morocco buys 166,000 T EU wheat, 40,000 T barley [nL13390820]

HAMBURG - Moroccan grains agency ONICL bought 166,000 tonnes of European Union-origin wheat and 40,000 tonnes of EU barley in an import quota tender which closed on Wednesday, traders said on Thursday.

The office was selling import licences for EU grain under the terms of a deal with the EU. No prices were available.

- - - -

> Brazil extends soy diplomacy to China [nN1366662]

SAO PAULO, Brazil - Brazil's agriculture ministry and soy industry are stepping up diplomatic efforts to secure a market for the South American country's largest farm export in China, the world's largest soy importer.

China's farm ministry said on Monday it was not accepting applications for imports of GMO soybeans from Brazil, the world's No. 2 soybean exporter.

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METALS > UK's FSA ends aluminium probe, no prosecution [nL13208541]

LONDON - Britain's financial watchdog, the Financial Services Authority (FSA), said on Thursday it was closing its probe into possible misconduct in the London Metal Exchange aluminium market and would be taking no further action.

The FSA began its investigation into possible collusion and misconduct in the London Metal Exchange aluminium market in December 2003 when the LME handed over its findings after a four-month internal probe that it said had uncovered evidence of a form of collusion and misconduct by non-LME members.

- - - -

> COMEX copper slips on thin volume as dollar firms [nN13377619]

NEW YORK - Copper futures started unchanged then lost ground Thursday morning after a rise in U.S. retail sales lifted the dollar, but traders said the lack of participation should limit moves in either direction.

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> Investment to boost gold price in H1 '05 -GFMS [nL12677555]

LONDON - Gold prices should bounce from a wobbly start in 2005 to average $447 per ounce in the first half due to renewed investor vigour, consultancy GFMS Limited said on Thursday.

GFMS said in an update to its Gold Survey 2004 that dollar weakness, compounded by the fiscal and current account deficits in the United States, plus low real interest rates, would be the major factors behind bullion as an alternative asset.

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GRAINS/OILSEEDS/LIVESTOCK
> Iberian traders turn to new crop, farmers fret [nL13261495]

MADRID - Spanish and Portuguese grain traders started dealing new crop wheat this week while farmers said they were worried that if a dry spell continued the harvest could be ruined.

- - - -

SOFT COMMODITIES > Greencore sugar factory closure seen premature [nL13276481]

DUBLIN - A decision by Ireland's only sugar producer to close one of its factories has undermined farmers' efforts to encourage the EU to abandon a planned reform of its quota system, the country's leading farmers' group said.

Greencore announced on Wednesday it would close its Carlow factory and consolidate all sugar production at its Mallow site with the loss of over 300 jobs. It blamed proposed changes to EU subsidies and quotas, as well as increased competition.

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13 Jan 2005 18:02

13.01.2005 16:52:06 NY gold slips then holds lower early on firm dollar

NEW YORK, Jan 13 (Reuters) - U.S. gold futures fell before steadying on lower ground early Thursday morning as the dollar pared gains following a double dose of U.S. economic data that, on balance, pointed to less economic strength than forecast.

Gold dipped overnight after three straight days of gains, due to profit-taking in Asia, with trade seen on the thin side and guided by currency moves before a U.S. holiday weekend, dealers said.

"Gold, silver and copper have been trading a little weaker in here off the firmer dollar, but there's not a lot of volume," said James Quinn, commodity commentator at AG Edwards & Sons. "A stronger dollar suggests easier metals trade. Expect sideways to lower in gold."

In silver, Quinn said the metal looked poised to break back up near $6.78 an ounce, as long as the fund and local buying seen earlier in the ring remained in force.

By 10:22 a.m. EST (1522 GMT), gold for February delivery shed $2.40 to $424.20 an ounce on the New York Mercantile Exchange's COMEX division, moving between $427.30 and $423.60.

New York metals will close early at around noon on Friday and will stay shut on Monday for Martin Luther King, Jr. Day.

Gold climbed to a one-week high Wednesday at $428.30 as the dollar fell on news the U.S. trade deficit widened to a record $60.3 billion in November. Many investors turn to gold as an alternative to a lower dollar.

On Thursday, the dollar was firmer. U.S. retail sales rose 1.2 percent, higher than economists' forecasts for up 1.0 percent. But, excluding autos, sales rose 0.3 percent, undershooting forecasts for up 0.4 percent.

Jobless claims for the latest week were 367,000, above economists' expectations for 340,000.

Midmorning in New York, the euro was down at $1.3206 versus $1.3225 before the reports, and off from levels late Wednesday.

Earlier the European Central Bank left Eurozone interest rates unchanged at a low 2 percent.

Analysts said gold traders were now focused on Friday's U.S. Producer Price Index for December, which is expected down 0.1 percent

Since Christmas, gold has been pushed lower by weaker fabrication demand and by a cutback in speculative interest in the market, in addition to a firmer dollar, said Merrill Lynch's latest weekly Global Precious Metals report.

But, "Based on two factors, including Merrill Lynch's view that the euro will strengthen to $1.39 by May and renewed fabrication demand due to the Indian wedding season (March to May), we expect the gold price to rise above $450 over the next several months," it added.

Separately, consultancy GFMS said in an updated gold survey prices should recover from a choppy start to the year to average $447 in the first half of 2005, as it expected renewed fund and speculative buying to boost the market.

Spot gold hovered at $423.25/4.00 an ounce, off from Wednesday's New York closing level at $425.65/6.40. Thursday's late London fix hit $423.60.

COMEX March silver slipped 5.3 cents to $6.69 an ounce, dealing from $6.745 to $6.68. Spot silver was at $6.65/68 against its prior late New York quote at $6.70/73. It fixed higher at $6.7075.

NYMEX April platinum rose 50 cents to $861 an ounce. Spot platinum touched $858/862.

March palladium fell $2.20 to $190 an ounce. Spot was at $185/189.

13 Jan 2005 14:36

13.01.2005 12:44:48 Europe gold retreats as euro rally fades vs dollar

LONDON, Jan 13 (Reuters) - Gold cooled off slightly on Thursday in Europe from a one-week peak reached in the previous session as the dollar pared its losses against the euro, dealers said.

Spot gold stood at $425.10/425.60 per troy ounce by 1132 GMT, from $425.65/426.40 late in New York on Wednesday.

Wednesday's surge was prompted by a surprise widening of the U.S. trade deficit that sent the dollar tumbling and gold to a peak of $427.35.

Dealers said that a lack of fresh impetus was now seeing the dollar drift back up, with gold prices moving down due to the metal's inverse relationship with the currency.

The euro was last at $1.3241.

"Yesterday's jump was all on the back of the trade figures -- the euro rally seems to have run out of steam now so I wouldn't be surprised if gold drifted back towards $422 today," one dealer said.

The U.S. trade gap ballooned to $60.3 billion in November, defying Wall Street expectations that it would narrow to $54 billion. October's deficit was revised to a wider $56 billion.

Analysts say worries about how the world's biggest economy will fund its budget, current account and trade deficits have been a major driver behind the dollar's three-year downtrend -- taking the greenback to a record low against the euro in December.

James Moore of TheBullionDesk.com said in a daily report that Wednesday's trade data served as a reminder of fundamental reasons behind the dollar's three-year bear run, supporting the case for traditional safe-haven assets such as precious metals and oil.

"For the moment, gold should find support around $425/426 with resistance seen between $430-32, but I think we will see gold work back towards $432-45 before heading back towards $455-58," he added.

Bullion scaled a 16-1/2 year peak in December at $456.75.

In other precious metals, silver was at $6.71/6.74 from $6.70/6.73 in New York on Wednesday.

Platinum rose slightly to $860.00/864.00 from 859.00/864.00 previously, while palladium eased to $186.00/191.00 from $187.50/193.50.

13 Jan 2005 10:21

13.01.2005 08:14:35 Europe gold edges higher as dollar struggles

* Gold starts European trade slightly firmer at $426.20/426.70 a troy ounce by 0704 GMT, versus $425.65/426.40 in late New York trade on Wednesday. * Boosted to one-week high the previous session after record U.S. trade deficit knocked dollar, making bullion more attractive to holders of other currencies. * Silver down to $6.69/72 from $6.70/6.73. * Platinum edges up to $861.00/866.00 from $859.00/864.00. * Palladium little changed at $188.00/193.00 from $187.50/193.50.

13 Jan 2005 10:21

13.01.2005 06:28:09 Gold off 1-week high in Asia, physical demand slow

(Updates to afternoon)

SINGAPORE, Jan 13 (Reuters) - Gold held steady in Asia on Thursday after hitting a one-week high the previous day, but trading was thin ahead of the release of more U.S. data.

Investors and jewellery makers were on the sidelines after buying some gold at around $420 an ounce on Wednesday before weak U.S. trade data for November knocked down the dollar and pushed up gold to $427.35 an ounce, its highest since Jan. 5.

Spot gold was quoted at $426.25/427.00 an ounce by 0450 GMT, compared with $425.65/426.40 late in New York.

Amid a dearth of gold-related news, the market awaits Thursday's U.S. retail sales and Friday's report on producer prices for direction.

Dealers pegged key support for gold at $418 an ounce.

In Tokyo gold futures, the most active December TOCOM gold futures contract lost two yen per gram at 1,412 yen.

"I am looking at a trading range of $424 to $428 an ounce in Europe. At the moment, gold is still tracking the euro and sterling movements," said one dealer in Singapore, a centre for bullion trading in Southeast Asia.

"I did see some investors interest yesterday. For bargain hunters, $420 is a nice buying level. They are very well-rewarded," he said.

In the currency market, the dollar was a $1.3252 per euro , versus $1.3256 in New York, where it had fallen more than 1 percent after data released on Wednesday showed the U.S. trade deficit expanded to a record $60.3 billion in November, much more than market expectations.

The U.S. currency was well off the 1-½ month high of
$1.3025 touched late last week.

Many investors turn to gold as an alternative to a lower dollar.

Platinum was trading at $860/865 an ounce, versus $859/864 an ounce in New York. The white, lustrous metal touched a fresh two-week high at $864 an ounce in Asia due to early buying in Tokyo gold futures .

But some dealers in Japan said recent gains in TOCOM was mostly driven by technicals and not physical-related buying.

Sister metal palladium was at $187/192 an ounce, compared with New York's $187.50/193.50.

Spot silver was at $6.69/6.72, versus $6.70/6.63 an ounce late in New York.

12 Jan 2005 21:31

12.01.2005 21:05:33 NY gold gallops to 1-week high on US trade data

NEW YORK, Jan 12 (Reuters) - U.S. gold futures closed at a one-week high Wednesday on investment fund and dealer buying as the dollar fell on surprisingly weak U.S. trade data for November, traders and analysts said.

February gold futures rose $4.20 to $426.60 an ounce on the New York Mercantile Exchange's COMEX division, after dealing between $421.10 and $428.30, which was its highest close since last Wednesday.

The U.S. trade deficit widened to a record $60.3 billion in November, which was far beyond expectations for it to narrow to $54 billion. October's deficit was revised to a wider $56 billion.

The data ignited selling in the dollar and the euro rallied, which lifted gold with it, traders said. Many investors turn to gold as an alternative to a lower dollar.

Gold stretched higher after popping above a key chart point $425 an ounce, which was the 100-day moving average on a continuation basis, said Refco analyst Tom Boustead.

"Down on the floor, there was dealer buying early on but that turned two-way," he said. A few "fast" funds (short-term technical funds) also got long in futures, before other fund-type accounts turned sellers at higher prices, he added.

Gold was a "buy" at the low $420s area due to strong physical demand in the market, Boustead said, but he noted dealer and fund selling still was filtering in on rallies. Boustead pegged technical resistance at $429-$430.

Gold futures fell to near three-month lows last week at $417.10 on long liquidation tied to a rally in the dollar.

"I think we bottomed out for the correction that we had to see below $420," said one trader. "And with the trade gap widening, the curve is getting steeper and steeper and that is a little disturbing to people out there."

Steady pressure is expected on the dollar if Americans keep buying foreign goods faster than U.S. businesses can export their goods and services, making the outflow of dollars heavy.

Midafternoon in New York, the euro traded at $1.3273, up from $1.3123 earlier.

Spot gold last changed hands at $425.65/6.40 an ounce, way above Tuesday's New York close at $421.80/2.55. The afternoon London fix on Wednesday was at $426.60.

Holdings of gold in the U.S. exchange-traded fund streetTRACKS , which is backed by bullion, hit a record high 139.60 tonnes on Jan. 11.

ETFs have become a popular way to invest in gold and streetTRACKS has amassed more than $1.5 billion in assets since it launched Nov. 18 on the New York Stock Exchange, according to Morningstar research.

March silver rose 10.5 cents to $6.743 an ounce, within a range of $6.60 to $6.75 which marked its highest since Jan. 3. Spot silver hit $6.70/73, above its last close around $6.63/66. Wednesday's fix was $6.58.

NYMEX April platinum fell $3 to end at $860.50 an ounce, down from a previous one-week high. Spot platinum was last at $859/864.

March palladium shed $3.60 to $192.20 an ounce, down from prior one-month highs. Spot reached $187.50/193.50.

12 Jan 2005 19:04

12.01.2005 18:18:07 Fallender Dollar treibt Goldpreis nach oben

London, 12. Jan (Reuters) - Der Goldpreis ist am Mittwoch als Reaktion auf den fallenden Dollar in die Höhe geschnellt. Analysten sehen das Edelmetall noch den jüngsten Abgaben nun wieder auf Kurs nach oben.

Gold hatte sich zunächst in engen Spannen bewegt, da der Handel auf die Daten zur US-Handelsbilanz und die Reaktion der Devisenmärkte wartete. Nachdem sich das amerikanische Aussenhandelsdefizit unerwartet auf ein Rekordniveau ausweitete und der Dollar deutlich nachgab, legte der Goldpreis rapide zu und erreichte ein Tageshoch von 427,35 Dollar.

Die Entwicklung im Goldhandel in den vergangenen Tagen könne eine Trendwende bedeuten; es geben keinen Grund, warum Gold nun nicht eher früher als später über 430 Dollar steigen sollte und auch in Richtung 440 Dollar zulegen könne, so HSBC-Metallanalyst Alan Williamson. Auch John Reade von UBS Investment Bank sieht das gelbe Metall reif für neue Zugewinne. Nach den jüngsten Abgaben habe das Risiko von Auflösungen von Long-Positionen abgenommen. Zudem unterstütze eine starke physische Nachfrage Gold.

Zum Handelsschluss in Europa notierte die Feinunze Gold bei 426,10/426,30 Dollar nach 421,15/421,90 Dollar am Vorabend. Das Fixing in London erfolgt am Nachmittag bei 426,60 Dollar nach 421,70 Dollar am Vormittag und 421,35 Dollar am Dienstagnachmittag. Eine Schweizer Grossbank gab den Gold-Kilopreis mit 15.840/16.090 (Vorabend 15.8849/16.099) sfr an.

ish/par

12 Jan 2005 17:38

12.01.2005 17:37:15 Commodities News Summary

TOP NEWS
> UPDATE 1-Europe gold hits 1-wk peak as trade gap s [nL12312802]

LONDON - Gold prices bounced to a one-week high in Europe on Wednesday, prompted by a surprise swelling of the U.S. trade deficit that sent the dollar tumbling and pulled fresh money into the metal, dealers and analysts said.

- - - -

> NY gold bolts to 1-week high on record US trade ga [nN12371196]

NEW YORK - U.S. gold futures rose to a one-week high Wednesday morning on heavy investor buying as the dollar fell on surprisingly weak U.S. trade data for November, dealers said.

- - - -

> NY copper advances as trade data pound the dollar [nN12382977]

NEW YORK - COMEX copper futures shot higher Wednesday morning after the U.S. trade deficit ballooned to a wider shortfall than anyone forecast and sent the dollar tumbling against the euro, traders said.

- - - -

> UPDATE 2-ONIC cuts EU wheat exports, sees high sto [nL12188496]

PARIS - French grain office ONIC on Wednesday cut its forecast of European Union wheat exports this season by nearly two million tonnes due to competition on world markets from Argentina and continued dollar weakness.

- - - -

METALS > EU aluminium scrap steady, seen rising later in Q1 [nL12656246]

LONDON - European aluminium scrap prices held steady this week at around 30-35 euros a tonne over the London Metal Exchange (LME) cash price, traders said on Wednesday.

- - - -

> UPDATE 1-Brazil's CVRD offers 30,000 T of Australi [nL12607362]

LONDON - Brazil's Cia Vale do Rio Doce (CVRD) (/RIO.N)(/VALE5.SA) has offered 30,000 tonnes of Australian alumina for March shipment via a tender in the spot market, trade sources said on Wednesday.

- - - -

> UPDATE 3-Mittal in talks to buy into Chinese steel [nPEK213361]

SHANGHAI/AMSTERDAM - Mittal Steel (/ISPA.AS), set to become the world's top steel producer via a multi-billion dollar merger, wants to gain a foothold in China, the world's biggest market, as global demand begins to slow.

- - - -

> EU copper scrap discounts widen as LME rises [nL12484751]

LONDON - European copper scrap price discounts have risen, while premiums have been eroded away in the past few weeks against the rising cost of primary metal, traders said on Wednesday.

- - - -

GRAINS/OILSEEDS/LIVESTOCK > World GMO crop area rises by 20 pct in 2004 -ISAAA [nL12713443]

BRUSSELS - World plantings of biotech crops jumped by 20 percent last year and should grow massively by the end of the decade as more Third World farmers opt for the technology, an industry lobby group said on Wednesday.

- - - -

> UPDATE 2-EU extends ban on Asian poultry imports t [nL129401]

BRUSSELS - EU animal health experts have extended a ban on poultry imports from eight Asian nations until the end of September due to uncertainty that deadly bird flu is under control in the region, the EU executive said on Wednesday.

- - - -

> Iran delays palm olein buy, eyes lower prices [nL12610686]

LONDON - Iran's state-run Government Trading Corporation (GTC) on Wednesday said it had decided to delay a planned tender to buy 15,000 tonnes of RBD Malaysian palm olein until market prices eased further.

- - - -

> Tunisia buys 175,000 T optional wheat at tender [nL12350158]

PARIS - Tunisia's state-run Office des Cereales has bought seven cargoes totalling 175,000 tonnes of soft wheat at between $153.60 and $154.60 a tonne C&F at a tender, European traders said on Wednesday.

- - - -

> UPDATE 1-EU extends ban on Asian poultry imports t [nL129401]

BRUSSELS - EU animal health experts have extended a ban on poultry imports from eight Asian nations until the end of September due to uncertainty that bird flu disease is under control in the region, officials said on Wednesday.

- - - -

> UPDATE 1-Syria tenders to sell 100,000T soft, duru [nL12383173]

DAMASCUS - Syria's state grains agency issued a tender on Wednesday to sell and export 50,000 tonnes of soft wheat and 50,000 tonnes of durum wheat, the agency said in a statement.

- - - -

> Oil World sees lower global soybean prices [nL12503982]

HAMBURG - Global soybean prices are likely to fall further in coming months because of large supplies, Hamburg-based newsletter Oil World said.

- - - -

SOFT COMMODITIES
> Ivory Coast smuggling increases as prices drop [nL1295810]

ABIDJAN - Cocoa smuggling from Ivory Coast has increased in recent weeks as lower world market prices are passed onto the farmgates, prompting more and more farmers to avoid official channels, industry players say.

- - - -

> UPDATE 1-Dubai refinery to deliver 10,000T sugar t [nL12213943]

LONDON - Dubai's Al Khaleej sugar refinery, the only sugar refinery in the Gulf, will send 10,000 tonnes of white sugar to the state-run Taiwan Sugar Corp. after a tender, the refinery's chairman Al-Ghurair Jamal said.

- - - -

> NY coffee jumps, sugar surges and cocoa rises [nN12375130]

NEW YORK - Price levels for the New York Board of Trade (NYBOT) coffee, sugar and cocoa markets:

NYBOT COFFEE - March arabica soared just above 100 cents a lb, or about 4.5 percent, in intraday trading before sliding back. At 10:17 a.m. EST (1517 GMT), March was trading up 3.3 percent at 98.80 cents a lb, dealing from 96.25 to 100.15 cents.

- - - -

> Greencore to close factory, blames EU reform [nL1264277]

DUBLIN - Irish food producer Greencore (/GNC.I) plans to close its Carlow sugar factory in March with the loss of over 300 jobs, ahead of reform in European sugar markets and because of increased competition.

- - - -

> UPDATE 1-Brazil 04/05 sugarcane crop seen at recor [nN12384754]

SAO PAULO, Brazil - Brazil's 2004/05 (May/April) center-south sugarcane crop will be a record 327.14 million tonnes, up from the 320 million tonnes forecast in August, the Sao Paulo Cane Agroindustry Union said Wednesday.

- - - -

12 Jan 2005 16:54

12.01.2005 16:23:03 NY gold bolts to 1-week high on record US trade gap

NEW YORK, Jan 12 (Reuters) - U.S. gold futures rose to a one-week high Wednesday morning on heavy investor buying as the dollar fell on surprisingly weak U.S. trade data for November, dealers said.

"The trade gap was much bigger than expected, so the euro started rallying rather severely and took gold with it," said a dealer at a precious metals refiner.

Many investors as well as currency dealers turn to the precious metal as an alternative to a lower dollar.

February gold futures on the New York Mercantile Exchange's COMEX division rose $4.40 to $426.80 an ounce by 9:57 a.m. EST (1457 GMT), near a session peak, trading from $421.10 to $426.30 which was its highest mark since Thursday.

The price of bullion also jumped, reaching $426.50/7.00 an ounce, which was way up from its prior New York close at $421.80/2.55. The afternoon London fix Wednesday was at $426.60.

Long liquidation as the dollar was rallying last week shoved gold to near three-month lows on Friday, with futures hitting $417.10.

"I think we bottomed out for the correction that we had to see below $420," said a trader. "And with the trade gap widening, the curve is getting steeper and steeper and that is a little disturbing to people out there."

The U.S. trade deficit widened to a record $60.3 billion in November, which was far beyond expectations for it to narrow to $54 billion. October's deficit was revised to a wider $56 billion.

Steady pressure is expected on the dollar if Americans keep buying foreign goods faster than U.S. businesses can export their goods and services, making the outflow of dollars heavy.

Midmorning in New York, the euro soared to session highs around $1.3272 from $1.3123 earlier.

Analysts peg resistance in COMEX February gold at about $430 followed by $432.90 and then $446.20 with support at $417 and $411.50 and $400.

Holdings of gold in the U.S. exchange-traded fund streetTRACKS , which is backed by bullion, hit a record high 139.60 tonnes on Jan. 11.

The ETF has become an increasingly popular way to invest in gold, and it has amassed more than $1.5 billion in assets since it launched Nov. 18 on the New York Stock Exchange, according to Morningstar research.

Barclays Global Investors plans to soon launch a gold ETF that has been in registration with the Securities and Exchange Commission for around a year.

In other precious metals, silver hit a nine-day high on the back of gold's rise, but platinum and palladium gave back some of Tuesday's gains.

March silver rose 9.7 cents to $6.735 an ounce, within a range of $6.60 to $6.74 which marked its highest since Jan. 3. Spot silver fetched $6.69/72 from $6.63/66 previously. Wednesday's fix was $6.58.

NYMEX March palladium shed $3.80 to $192 an ounce, down from prior one-month highs. Spot palladium hit $188/193.

April platinum fell $6.50 to $857 an ounce, down from a previous one-week high. Spot platinum traded to $854/858.