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"Gold steadied to trade at a little above $930 on Friday, although it remained vulnerable to a firm dollar which prevents the precious metal from showc..."
Gold steadied to trade at a little above $930 on Friday, although it remained vulnerable to a firm dollar which prevents the precious metal from showcasing its merits as an alternative investment to the US currency.
Bullion has mostly traded within a range of $930-$940 this week, down about 5% from a three-month high of $989,80 marked earlier in June.
A stronger dollar sapped strength from the metal's upward drive, preventing it from topping the key $1 000 level which it last marked in February.
"(Gold) seems to be consolidating for the moment," said Adrian Koh, an analyst at Phillip Futures.
Gold was at $933,75 per ounce at 0227 GMT, up 0,2% from New York's notional close of $932,35.
"The dollar's short-term rebound is going to weigh on gold," Koh said.
The dollar held its gains against the euro on Friday and edged higher against the yen after US yields rose following relatively positive data that encouraged hopes for the economy.
Koh said inflation worries were also going to shape trading in gold.
Gold, a beneficiary of currency market volatility and waning confidence in paper money, is also seen as a hedge against inflation, which erodes the value of paper assets.
Traders have said a rally in equities has spurred fund interest in commodities as an inflation hedge.
"Near-term support (for gold) will come in around the recent $925 lows," Koh said.
US gold futures for August delivery were largely flat around $934.60 per ounce.
The slowdown in interest in gold investment was reflected in the unchanged volumes for the world's largest gold-backed exchange-traded fund.
The SPDR Gold Trust, said its holdings stood at 1 132,15 tons as of June 18, unchanged since June 5.
Spot platinum was also mostly flat at $1 200,50 per ounce versus $1 200 in New York.
The precious metal, used in jewellery and automobile catalytic converters, could be subjected to upward pressure if there are any disruptions to production in South Africa, where four-fifths of the world's platinum is mined.
The head of South Africa's biggest mineworkers' union told Reuters on Thursday its members were prepared to down tools in a bid to win a wage raise, but hoped for a deal to avert a strike.
Bullion has mostly traded within a range of $930-$940 this week, down about 5% from a three-month high of $989,80 marked earlier in June.
A stronger dollar sapped strength from the metal's upward drive, preventing it from topping the key $1 000 level which it last marked in February.
"(Gold) seems to be consolidating for the moment," said Adrian Koh, an analyst at Phillip Futures.
Gold was at $933,75 per ounce at 0227 GMT, up 0,2% from New York's notional close of $932,35.
"The dollar's short-term rebound is going to weigh on gold," Koh said.
The dollar held its gains against the euro on Friday and edged higher against the yen after US yields rose following relatively positive data that encouraged hopes for the economy.
Koh said inflation worries were also going to shape trading in gold.
Gold, a beneficiary of currency market volatility and waning confidence in paper money, is also seen as a hedge against inflation, which erodes the value of paper assets.
Traders have said a rally in equities has spurred fund interest in commodities as an inflation hedge.
"Near-term support (for gold) will come in around the recent $925 lows," Koh said.
US gold futures for August delivery were largely flat around $934.60 per ounce.
The slowdown in interest in gold investment was reflected in the unchanged volumes for the world's largest gold-backed exchange-traded fund.
The SPDR Gold Trust, said its holdings stood at 1 132,15 tons as of June 18, unchanged since June 5.
Spot platinum was also mostly flat at $1 200,50 per ounce versus $1 200 in New York.
The precious metal, used in jewellery and automobile catalytic converters, could be subjected to upward pressure if there are any disruptions to production in South Africa, where four-fifths of the world's platinum is mined.
The head of South Africa's biggest mineworkers' union told Reuters on Thursday its members were prepared to down tools in a bid to win a wage raise, but hoped for a deal to avert a strike.
