* Euro rises vs dollar after U.S. data, Greek T-bill auction
* Concerns over fiscal health of euro zone linger
* Anglo Platinum may lift 2010 output to meet demand
(Updates prices, adds comment)
By Jan Harvey
LONDON, April 13 (Reuters) - Gold prices steadied on
Tuesday, recovering earlier losses, as the euro rose 0.2 percent
versus the dollar after data showed the U.S. trade deficit
widened in February, and after a Greek Treasury Bill auction.
Spot gold <XAU=> was bid at $1,155.50 an ounce at 1328 GMT,
against $1,155.00 late in New York on Monday. U.S. gold futures
for June delivery <GCM0> on the COMEX division of the New York
Mercantile Exchange fell $6.10 to $1,156.10 an ounce.
The metal rose to a four-month high of $1,168.70 early on
Monday as relief over the 30 billion euro ($40.81 billion)
bailout plan sparked a rally in the euro. However, it failed to
sustain those gains.
"There are a few worries creeping in about a correction, as
we have had a good move," said Saxo Bank Senior Manager Ole
Hansen. "But it is healthy that we finally managed to break
recent highs."
He said the market was being driven chiefly by currency
moves, with uncertainty linked to a possible yuan revaluation by
China also a background factor.
The euro rose in the New York session on Tuesday after
earlier falling to a session low versus the dollar after results
from a Greek Treasury bill auction showed the market still
required a high premium to hold Greek assets. []
Greece's Public Debt Management Agency sold 1.2 billion
euros of 52- and 26-week T-bills on Tuesday in its first debt
sale since details of the European safety net were announced.
The auction was covered but Greece had to pay a high yield.
Concern over the fiscal health of peripheral euro zone
economies like Greece has weighed heavily on the euro this year,
knocking it more than 5 percent lower versus the dollar.
Strength in the dollar curbs gold's appeal as an alternative
asset and makes commodities priced in the U.S. unit more
expensive for holders of other currencies.
POISED FOR GAINS
From a technical perspective, gold is poised for further
gains, analysts said, but may need to put in several sessions of
consolidation before it tracks higher once again.
"Gold remains in overbought territory with immediate support
around $1,150 and then $1,142.50," said VTB Capital analyst
Andrey Kryuchenkov in a note.
"We need to see a confirmed pullback below these levels to
suggest a definite and much-needed correction."
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For a technical analysis of the spot gold price, click
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Among other commodities, oil fell for a fifth straight
session to below $84 on Tuesday, almost erasing April's gains,
as a forecast increase in U.S. crude inventories fuelled concern
about excess supplies and sluggish demand growth. []
Investment demand for gold was tempered on Monday, with
holdings of the world's largest gold-backed exchange-traded
fund, New York's SPDR Gold Trust <GLD>, unchanged at record
highs on Tuesday. []
Buyers have been reassured by a pick-up in ETF holdings
after outflows earlier this year. Holdings of the SPDR fund are
up 7.419 tonnes so far this year, well below the inflows of
347.45 tonnes seen in the same period of last year.
Among other precious metals, platinum <XPT=> prices
retreated from the previous session's 20-month high to $1,713.50
an ounce, against $1,720 late in New York on Monday.
The world's biggest producer of the white metal, Anglo
Platinum <AMSJ.J>, said it expects demand to improve this year
and may raise production by around 200,000 ounces to meet that.
[]
Palladium <XPD=> was at $517 against $516.50, while silver
<XAG=> was bid at $18.28 an ounce against $18.19.
(Editing by Sue Thomas)
