* Gold rises, concerns over euro debt stay
* For a technical view on spot gold; click: []
* Coming Up: EU Industrial production; 0800 GMT
(Updates prices)
By Lewa Pardomuan
SINGAPORE, June 14 (Reuters) - Gold rose further on Monday
as investors bet a rebound in the euro could be short-lived and
on lingering concerns about the strength of the global economic
recovery.
Although jewellers may buy gold on dips, the metal was
likely to trade in a range unless it passes key resistance
around $1,250 an ounce. Gold struck a record at $1,251.20 last
week on fears the euro zone's sovereign debt crisis may spread.
For a graphic showing the spot gold technical outlook,
see:
http://graphics.thomsonreuters.com/gfx/WT_20101406091213.jpg
Spot gold <XAU=> was at $1,229.75 an ounce by 0605 GMT, up
$4.35 from New York's notional close on Friday. Trading was
volatile last week, with prices falling to a low around $1,214
an ounce just two days after it hit an all-time high.
"I think we can say there's a little bit of short covering.
That's all. We are still watching the developments in the euro
zone," said Ronald Leung, director of Lee Cheong Gold Dealers
in Hong Kong.
"As long we don't break (fall below) $1,200, we still
continue to be bullish," he added.
U.S. gold futures for August delivery <GCQ0> added $1.4 an
ounce to $1,231.6 but are off an intraday high around $1,234.
A euro short-covering rally took it briefly above $1.22
against the dollar, its strongest in a week, on Monday.
But dealers were cautious about the sustainability of any
euro gains because of concerns over euro zone debt problems.
[]
Holdings in the world's largest gold-backed exchange-traded
fund, SPDR Gold Trust <GLD.P>, were unchanged at a record high
of 1,306.137 tonnes. []
Other precious metals were mostly steady on Monday, waiting
for cues from bullion.
Silver prices could rise to $21 an ounce by the end of the
year on gold's coattails and an industrial demand recovery,
said Philip Newman, research director of respected precious
metals consulting firm GFMS Ltd on Sunday. []
There was a lack of activity in the physical sector, which
suggested the rise in prices were mostly driven by speculators
covering positions.
"Honestly, there's nothing much over here. It's very quiet.
I am not getting any inquiries," said a dealer in Singapore.
Japan's benchmark Nikkei average <> ended up 1.80
percent at 9,879.85 on Monday, tracking gains in Wall Street as
U.S. consumer sentiment improved. [] []
Oil climbed more than $1 on Monday, heading towards $75 a
barrel as renewed optimism about the global economic recovery
rekindled appetite for risk, sending stock markets higher and
the dollar down. []
Precious metals prices at 0605 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 1229.75 4.35 +0.35 12.23
Spot Silver 18.36 0.18 +0.99 9.09
Spot Platinum 1554.25 14.75 +0.96 5.95
Spot Palladium 453.25 14.25 +3.25 11.78
TOCOM Gold 3647.00 42.00 +1.17 11.91
27593
TOCOM Platinum 4636.00 76.00 +1.67 5.82
12651
TOCOM Silver 54.90 0.60 +1.10 6.19
372
TOCOM Palladium 1350.00 11.00 +0.82 15.88
118
Euro/Dollar 1.2190
Dollar/Yen 91.97
TOCOM prices in yen per gram. Spot prices in $ per ounce.
(Editing by Ed Lane)
