* Gold falls from 1-week high on euro's decline
* Oil steady below $35 a barrel; stocks may weigh
* Platinum also tracks oil lower
(Updates prices)
By Lewa Pardomuan
SINGAPORE, Jan 20 (Reuters) - Gold slipped on Tuesday after
rallying to a one-week high the previous day, as a weaker euro
prompted investors to book profits and as jewellers in Asia
were well stocked ahead of the Lunar New Year.
Platinum also fell from a one-week high to track falling
gold prices, but the metal has bounced almost 30 percent since
tumbling to a five-year low around $730 an ounce in late
October, partly driven by purchases by Japanese investors.
Gold <XAU=> was trading at $831.35 an ounce, down $3.20
from late trade on Monday, when it rose as high as $845.55 in
volatile trade. U.S. markets reopen on Tuesday after Martin
Luther King holiday.
Bullion dropped to its weakest in a month around $801 last
week on falling euro and stock markets, but the decline also
spurred buying from jewellers ahead of the Lunar New Year next
week.
"It could have gotten a bit positive after gold neared the
$850 regions but it looks like we are back down again on a
weaker euro and pound," said Adrian Koh, analyst at Phillip
Futures in Singapore, referring to a high seen last week.
"It's pretty much currency driven today. I think
yesterday's rise was a bit of follow through from the sharp
rally in the previous day. And traders as well as investors
probably stopped short at key resistance levels."
The euro <EUR=> extended falls following a ratings
downgrade of Spain by Standard & Poor's, grim economic
forecasts from the European Commission and a worsening outlook
for the financial sector after Royal Bank of Scotland unveiled
its biggest loss in UK corporate history. [] The
euro fell to $1.3010 <EUR=> after touching a six-week low of
$1.2988 on trading platform EBS. []
Falling stock markets could weigh on gold, with the Nikkei
<> and Asian stocks outside outside Japan <.MIAPJ0000PUS>
both sliding more than 3 percent. []
Oil <CLc1> steadied below $35 a barrel on Tuesday after
falling around $2 the previous day as Russia and Ukraine signed
a gas deal that would help secure supplies to Europe. []
"The selling is driven by the weakening of the euro. I
don't see physical buying and I guess people are already in a
holiday mood," said a dealer in Hong Kong.
"Gold had fallen to around $800 last week and buyers don't
mind waiting for the price to fall further if they have to buy
again," said a dealer in Hong Kong.
Platinum <XPT=> was trading at $947.50 an ounce, down $1.00
from Monday's late trade. The metal has attracted buying from
bargain hunting in Asia, with prices now trading more than 50
percent below a record above $2,200 struck last March.
"Platinum is a bit more positive than gold, possibly because
it did dip to almost par levels as compared to gold and
industry players were buying on its relative cheapness," said
Koh of Phillip Futures.
New York gold futures <GCZ9> fell $8.3 an ounce to $831.6
in electronic trade.
Precious metals prices at 0251 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 831.35 -3.20 -0.38 -0.16
Spot Silver 11.09 -0.04 -0.36 -24.92
Spot Platinum 947.50 -1.00 -0.11 -37.66
Spot Palladium 180.50 -2.50 -1.37 -50.95
TOCOM Gold 2428.00 -32.00 -1.30 -20.65
15119
TOCOM Platinum 2768.00 -37.00 -1.32 -48.16
4478
TOCOM Silver 319.70 -4.80 -1.48 -40.91
126
TOCOM Palladium 529.00 -8.00 -1.49 -60.84
104
Euro/Dollar 1.3031
Dollar/Yen 90.32
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)
