(Updates to Tokyo close)
By Lewa Pardomuan
SINGAPORE, Feb 1 (Reuters) - Platinum held a record high on
Friday as a protracted power crisis in main producer South
Africa spurred buying from investors and auto makers, who
feared further rises in prices.
Gold firmed but hovered below this week's record high,
silver was within sight of its best level in 27 years while
palladium rose to its highest since May 2006. But overall
trading was subdued ahead of the release of U.S. jobs data.
Platinum <XPT=> rose to $1,735/1,740 an ounce from
$1,730/1,735 an ounce late in New York on Thursday, when it
spiked to an all-time high of $1,741 an ounce.
Speculative buying sparked a rally in Tokyo, where the most
active platinum contract on Tokyo Commodity Exchange, currently
December 2008 <<0#JPL:>, hit another record high of 5,693 yen
per gram. It ended 140 yen higher at 5,681 yen.
"I am 100-percent sure automobile companies are also buying
two or three-month stocks. That's why platinum is very strong,"
said Yukuji Sonoda, precious metals analyst at Daiichi
Commodities in Tokyo.
"If they are to continue production, they must buy. I am
sure the price will be $1,800 and more by the end of this
month," he said.
Investors believed the worst was far from over in South
Africa after fresh electricity supply problems dented
expectations in the mining sector for an early return to full
production after a five-day hiatus.
State utility Eskom [] had agreed to ramp up supply
to the country's diamond, platinum, gold, coal and other mines
to 90 percent by Thursday, after a power shortage halted their
operations for the five days to Wednesday. []
Platinum, which is used to make jewellery and clear car
exhaust fumes, has risen more than 14 percent this year, as
investors fretted over supply tightness.
Spot gold <XAU=> rose to $926.65/927.35 an ounce from
$923.80/924.70 ounce late in New York -- off Tuesday's record
high of $933.10 an ounce.
Gold hit an intraday high of $932 on Wednesday and attempts
to break new highs were met by profit taking.
Light buying interest from Japanese investors pushed up
prices but gold was likely to hold around current levels ahead
of U.S. economic data due later on Friday, said Ronald Leung,
director of Lee Cheong Gold Dealers in Hong Kong.
"There was some liquidation in the market last night
because it could not break through $930. The upside is still
capped," said Leung, who pegged support at $915 an ounce.
The dollar <JPY=> hardly moved at 106.40 yen and the euro
<EUR=> was little changed at $1.4865 ahead of the release of
U.S. non-farm payrolls and a reading of factory activity which
may show just how close the U.S. economy is to a recession.
The dollar has been hit by two hefty interest rate cuts by
the Federal Reserve in less than 10 days along with concerns
about credit problems and signs of serious economic weakness.
Silver <XAG=> fell to $16.90/16.95 an ounce from
$16.91/16.96 in New York. It rallied to a 27-year high of
$17.00 to track a rally in platinum and firmer gold.
COMEX's April gold futures <GCJ8> added $3.1 an ounce to
$931.1.
Palladium <XPD=> rose to $392.00/395.00 an ounce, its
highest in 20 months, from $386.00/389.00 an ounce.
Precious metals prices at 0836 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 926.75 1.75 +0.19 11.29
Spot Silver 16.90 0.03 +0.18 14.42
Spot Platinum 1735.00 5.00 +0.29 14.14
Spot Palladium 392.00 6.00 +1.55 6.52
TOCOM Gold 3194.00 -1.00 -0.03 4.38
55278
TOCOM Platinum 5681.00 140.00 +2.53 6.41
45358
TOCOM Silver 582.30 3.00 +0.52 7.63
1032
TOCOM Palladium 1372.00 30.00 +2.24 1.55
854
Euro/Dollar 1.4873
Dollar/Yen 106.49
TOCOM prices in yen per gram, except TOCOM silver which is
priced in yen per 10 grams. Spot prices in $ per ounce.
(Editing by Ben Tan)
