* Gold bounces after easing slightly in NY
* SPDR gold holdings at record above 800 tonnes
* Dollar slips against euro ahead of Fed meeting
(Updates prices)
By Lewa Pardomuan
SINGAPORE, Jan 28 (Reuters) - Gold firmed on Wednesday,
holding near its highest in more than three months hit this
week, as troubles in the financial sector spurred investors to
look for havens from market turmoil.
Gold was 13 percent above a 1-month low around $801 hit two
weeks ago and around 12 percent below a lifetime high of
$1,030.80 struck last March, with investment demand also
pushing exchange traded fund holdings to a record above 800
tonnes.
Gold <XAU=> was trading at $898.60 an ounce, up $1.25 from
New York's notional close on Tuesday, when it slipped nearly 1
percent on profit taking after prices rallied to $915.30 on
Monday, its strongest since early October.
"The gold-dollar relationship has weakened recently. That
pretty much brings the 'safe-haven' factor into play again,"
said Adrian Koh, analyst at Phillip Futures in Singapore.
"Investors are probably more concerned about what's
happening in the markets now and feel that gold will probably
be the standout winner against the other currencies."
Record high holdings in the world's largest gold-backed
exchange-traded fund, the SPDR Gold Trust <GLD>, was also seen
as a bullish sign as it indicates longer-term investors are
entering the market, dealers said.
The SPDR Gold Trust <GLD> said it held 832.88 tonnes of
gold as of Jan. 27, unchanged from record levelson the previous
day but up 0.31 tonnes from Jan. 23. Holdings have gone up more
than 7 percent in the past month. []
"For the near-term, I am looking at the $920-$930 regions
for resistance, and if we do move above those regions, it could
get a little more positive for gold," said Koh of Phillip
Futures, referring to highs seen in July last year.
A Reuters survey of 52 analysts published on Monday showed
most expect gold to hold its ground in 2009 despite expected
falls in other asset prices, on worries over the global
economic outlook and turmoil in the financial markets.
[]
In other markets, the dollar slipped against the euro
<EUR=> as investors awaited the outcome of a Federal Reserve
meeting that could unveil new steps to ease the credit crunch.
[]
Japan's Nikkei average <> eased 0.37 percent as
worries about earnings weighed. <.T>
Crude oil regained some of its losses from the previous
day, when prices dived 9 percent as economic jitters in the
United States stirred energy demand concerns. []
In the physical sector, high gold prices spurred selling
from jewellers and speculators in Indonesia and Thailand.
"I am not sure if the investment is actually coming from
Asia. I think it's the Europeans who have been buying," said a
dealer in Singapore.
"We've seen physical selling in Asia because the price has
gone up. Thailand has been selling quite a lot lately," he
said.
Premiums for gold bars were unchanged at 50 U.S. cents an
ounce to the spot London prices in Singapore. <GOLD/ASIA1>
Platinum <XPT=> was trading at $947.00 an ounce, up $2 from
New York's notional close.
New York gold futures <GCZ9> eased $1.0 an ounce to $898.5
in electronic trade.
Precious metals prices at 0223 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 898.60 1.25 +0.14 7.91
Spot Silver 12.06 0.05 +0.42 -18.35
Spot Platinum 947.00 2.00 +0.21 -37.70
Spot Palladium 188.50 0.00 +0.00 -48.78
TOCOM Gold 2589.00 -20.00 -0.77 -15.39
17822
TOCOM Platinum 2714.00 -51.00 -1.84 -49.17
4603
TOCOM Silver 341.60 -5.20 -1.50 -36.86
205
TOCOM Palladium 555.00 -9.00 -1.60 -58.92
70
Euro/Dollar 1.3229
Dollar/Yen 89.00
TOCOM prices in yen per gram, except TOCOM silver which is
priced in yen per 10 grams. Spot prices in $ per ounce.
(Editing by Michael Urquhart)
