* Safe-haven buying lessened on U.S. stimulus hopes
* U.S. non-farm payrolls decline by more than expected
* SPDR Gold Trust holdings rises to record
(Recasts, updates quotes, closing prices, adds NEW YORK to
dateline)
By Frank Tang and Jan Harvey
NEW YORK/LONDON, Feb 6 (Reuters) - Gold fell slightly in
thin and volatile trade on Friday after data showed the U.S.
economy shed more jobs than expected in January, boosting
expectations Washington will act quickly on its fiscal stimulus
package.
President Barack Obama has been working with the U.S.
Senate to craft a massive stimulus package to revive a
struggling U.S. economy. []
"The outlook for the fiscal stimulus package is a factor to
keep an eye on," said Peter Fertig, consultant to Dresdner
Kleinwort, the investment banking division of Dresdner Bank.
"It might be negative for gold if people expect the economy
is getting back on track again," he added.
Spot gold <XAU=> was at $911.55 an ounce at 2:12 p.m. EST
(1912 GMT), down 0.6 percent from the last trade $913.75 late
in New York on Thursday.
Gold was also pressured by lessened safe-haven buying as
the U.S. stock markets rallied nearly 3 percent on stimulus
hopes.
"With the rise in stock markets, some investors just took
profits in gold and went back into stocks," said Fertig.
George Gero, vice president of RBC Capital Markets Global
Futures, said that gold investors stayed on the sidelines ahead
of a U.S. Treasury's plan to bolster banks and the financial
system.
"The (COMEX) volume and open interest tell me that we have
very serious investment demand, which has been overtaking
producer selling," Gero said.
ETFs, which issue securities backed by gold bullion, have
proved popular with investors seeking the safety of precious
metals without the drawbacks of holding coins or bars.
The SPDR Gold Trust, the world's largest exchange-traded
fund, said its bullion holdings rose to a record 867.19 tonnes
that day. []
Gold futures for April delivery <GCJ9> settled up 10 cents
at $914.30 an ounce on the COMEX York Mercantile Exchange.
U.S. employers slashed 598,000 jobs in January, as the
national unemployment rate shot up to 7.6 percent, according to
the Labor Department. []
The usual key external drivers of gold, the dollar and oil,
have become less influential as risk aversion has increased.
SILVER, PGMS FIRMER
Among other precious metals, silver <XAG=> was at $13.11 an
ounce, up 2.1 percent from its previous close of $12.84.
Platinum <XPT=> ended up at $994.00 an ounce, up 2.2
percent from its last finish of $973.
Palladium rose more than 5 percent on interest from
long-term investors and buying of exchange-traded funds.
Zurich Cantonal Bank (ZKB) said it bought 6,365 ounces of
metal to back its palladium exchange-traded fund on Feb. 5,
bringing its total holdings to 532,000 ounces.
"There have been some banks highlighting the fact that
(palladium) is undervalued relative to the other precious
metals," Mitsubishi precious metals strategist Tom Kendall
said.
Palladium <XPD=> was at $210.50 an ounce, up 5.0 percent
from its previous close of $200.50 on Thursday.
(Reporting by Frank Tang; Editing by Marguerita Choy)
