PRECIOUS-Gold steady near $1,105; pares drop on IMF plan

                                
 TOKYO, Feb 19 (Reuters) - Gold prices steadied around $1,105
an ounce on Thursday, paring earlier losses made on news that the
International Monetary Fund plans to start selling gold in the
open market.
                                
 FUNDAMENTALS
                                
 * Spot gold <XAU=> was down 0.1 percent at $1,105.25 an ounce
as of 0000 GMT, compared with New York's notional close of
$1,106.
                                
 * It earlier fell as low as $1,104.
                                
 * "This wasn't totally unexpected given what the IMF has been
saying, but it was still enough to give the market a rattle," a
gold dealer in Sydney said. [ID:nSGE61G0MT]
                                
 * The International Monetary Fund said late on Wednesday that
it will shortly begin selling 191.3 tonnes of gold in the open
market under a programme launched last year to boost its
resources.
                                
 * To avoid disruptions to the gold market, the IMF said the
sales "will be conducted in a phased manner over time." The fund
kept open the possibility that central banks could still purchase
some of the gold directly. [ID:nN17152668]
                                
 * Spot gold hit a peak of $1,126.85 an ounce on Wednesday
ahead of the IMF statement, its highest since Jan. 20, before
fresh gains in the U.S. currency pressured prices from highs.
[GOL/]
                                
 * U.S. gold futures for April delivery <GCJ0> were down 1.2
percent at $1,106.60 an ounce. On Wednesday, the contract ended
30 cents higher at $1,120.10 on the COMEX division of the New
York Mercantile Exchange.
                                
 * The world's largest gold-backed exchange-traded fund, the
SPDR Gold Trust <GLD>, said its holdings stood steady at
1,109.424 tonnes as of Feb. 17 from the previous day. [GOL/SPDR]
                                
 * Markets in China are closed this week.
                                
 MARKET NEWS
                                
 * Stronger-than-expected corporate results and upbeat
economic data drove U.S. stocks higher on Wednesday as they fed
expectations the recovery will bolster corporate profits. [.N]
                                
 * The dollar rose to a two-week high against the yen and
rallied against the euro on Wednesday, lifted by
stronger-than-expected U.S. housing and industrial data and as
worries about Greece's fiscal health weighed on the euro. [USD/]
                                
 DATA EVENTS
                                
 * The following data is expected on Thursday: <ECON>
                                
 - Bank of Japan ends two-day policy meeting. (N/A)
                                
 - ECB Governing Council meeting (N/A)
                                
 - UK Public Sector Finances for Jan (0930 GMT)
                                
 - UK CBI industrial trends for Feb (1100 GMT)
                                
 - Weekly U.S. jobless claims. (1330 GMT)
                                
 - U.S. PPI/core PPI for Jan (1330 GMT)
                                
 - U.S. leading indicators for Jan (1500 GMT)
                                
 - Philadelphia Fed business activity index for Feb (1500 GMT)
                                
 - U.S. Treasury Secretary Timothy Geithner speaks (1945 GMT)
                                
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