* Gold steadies after 2 pct rise but dollar, stocks weigh
* Platinum hits 3-week low on demand fears
* Nikkei down more than 3 percent
(Updates prices)
By Lewa Pardomuan
SINGAPORE, Nov 21 (Reuters) - Gold barely moved on Friday,
having risen more than 2 percent in the previous session, as
the euro weakened against the U.S. dollar and equities markets
extended losses on worries about a global recession.
But the yellow metal could find support from jewellers as
the wedding season progresses in main consumer India. Platinum
hit a 3-week low on fears of falling demand for autocatalysts,
which account for more than 60 percent of global use.
Gold <XAU=> was trading at $745.50 an ounce, up $0.40 from
its notional close in New York on Thursday, when it hit an
intraday high of $751.60 as physical buying helped it defy
selling in equities.
Gold was 28 percent below a lifetime high of $1,030.80
struck in March, which it has been unable to revisit after
selling choked off recent rallies. It hit a two-month high of
$931 in October but losses in equities forced investors to cash
in to cover losses.
"Given the relative strength of the dollar, it's tending to
put a cap on gold extending its gains," said Darren Heathcote
of Investec Australia in Sydney, adding that bullion would
trade in its current range of $725 to $750.
The euro edged down to $1.2443 <EUR=> after falling in New
York as investors sold risky assets, such as stocks and
commodities financed by loans denominated in the U.S. dollar.
[]
"I don't really have anything much on gold because it's
still on a sideward consolidation with no clear short-term
trend. However if we do move above the $750-$760 regions, then
this may change," said a dealer in Singapore.
"That, however, will go against the negative correlation
gold has with the dollar as the dollar continues to move higher
also."
Japan's Nikkei benchmark dropped more than 3 percent to a
three-week low on a stronger yen and an overnight plunge in
U.S. stocks, which dealers said could still spur selling in
gold. []
"New York stock markets fell sharply and that put pressure
on gold," said Kazuhito Saito of Interest Capital Management.
Platinum was also under pressure after Japanese automakers
Toyota Motor Corp <7203.T> and Nissan Motor Co <7201.T> said
they would cut production due to falling demand, Saito said,
adding that platinum futures in Tokyo <0#JPL:> would also
extend losses.
Platinum <XPT=> was trading at $763.00 an ounce, up $0.50
from New York's notional close. It dropped to a 3-week low of
$759.00 in early trade on Friday on recession worries.
Democratic congressional leaders, seeking to salvage a
bailout of the Big Three automakers, demanded executives
provide a business survival plan in exchange for their support
of up to $25 billion in loans. []
New York gold futures <GCZ8> fell $4.2 an ounce to $744.5.
Precious metals prices at 0143 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 745.50 0.40 +0.05 -10.47
Spot Silver 8.93 -0.02 -0.22 -39.54
Spot Platinum 763.00 0.50 +0.07 -49.80
Spot Palladium 175.00 2.00 +1.16 -52.45
TOCOM Platinum 2329.00 -118.00 -4.82 -56.38
8328
TOCOM Silver 270.00 -13.40 -4.73 -50.09
335
TOCOM Palladium 541.00 -59.00 -9.83 -59.96
458
Euro/Dollar 1.2450
Dollar/Yen 94.21
TOCOM prices in yen per gram, except TOCOM silver which is
priced in yen per 10 grams. Spot prices in $ per ounce.
(Editing by Clarence Fernandez)
