* Technical buying, physical demand boost bullion
* Euro-priced bullion hits record as single currency slips
* Palladium at 2-yr highs, platinum at firmest in 20 months
(Updates prices, adds detail, comment)
By Jan Harvey and Rebekah Curtis
LONDON, April 7 (Reuters) - Spot gold hit its highest level
since mid January on Wednesday, while bullion denominated in
euros struck a record as investors, worried by Greek fiscal
problems, picked up hard assets.
Spot gold <XAU=> peaked at $1,147.95 an ounce, its highest
since mid-January, and was bid at $1,143.55 an ounce at 1514
GMT, against $1,133.20 late in New York on Tuesday. Buying on
the spot market escalated after prices reached a range between
$1,336 and $1,142, traders said.
Euro-priced gold <XAUEUR=R> hit a record high of 858.98
euros an ounce, and was later bid at 857.60 euros against 846.04
euros late on Tuesday.
Also boosting prices, the euro hit its lowest in more than a
week against the dollar on renewed concerns over Greece's
ability to tackle its debt crisis. []
"There's a lot of investment buying because of the Greece
issue and with gold going above $1,336 there have been some
technical stops triggered," said Standard Bank analyst Walter de
Wet, adding robust physical demand was also boosting prices.
"We have seen very good physical demand out of Asia, and out
of India, over the past couple of days. The general trend is
going to be that we're going to see more buying than selling."
Traders report Indian jewellers are stocking up for the
wedding season in the world's largest gold consumer. []
Other precious metals also rose, with palladium hitting a
two-year high.
GREECE CONCERNS
Concern over the outlook for debt-laden Greece and other
smaller euro zone economies like Spain and Ireland have hit the
euro this year, knocking it 6.8 percent versus the dollar.
A strong dollar would usually weigh on gold, but wider fears
over sovereign risk have supported it.
"Increasing concerns over fiscal deficit levels continue to
draw diversification towards hard assets, particularly gold,"
said James Moore, an analyst at TheBullionDesk.com.
U.S. gold futures for June delivery <GCM0> on the COMEX
division of the New York Mercantile Exchange rose $8.6 to
$1,144.6 an ounce.
Gold prices are also being supported by expectations
interest rates will remain low for an extended period, which
will keep the opportunity cost of holding gold low.
Minutes from the U.S. Federal Reserve's last meeting
released on Tuesday suggested the bank could keep interest rates
ultra-low for even longer than investors expect if the economic
outlook worsens or inflation drops. []
Among other commodities, platinum group metals also
benefited from expectations for an economic recovery, with
dealers reporting good demand for palladium in particular from
Japanese carmakers.
Platinum and palladium are primarily used in catalytic
converters, but both have also seen significant investment
interest this year.
Platinum <XPT=> hit its highest since August 2008 at $1,723
an ounce and was later at $1,708.50 an ounce against $1,697.50.
Palladium <XPD=> hit a two-year high at $511.50 and was later at
$503.50 against $504.50.
"Palladium, platinum and silver actually have been gaining
on gradually improving fundamentals alongside other industrial
metals," said VTB Capital analyst Andrey Kryuchenkov in a note.
Silver <XAG=> was at $18.07 an ounce versus $17.88, having
earlier hit $18.20, its highest since late January.
(Reporting by Jan Harvey; Editing by Amanda Cooper and Sue
Thomas)
