* U.S. non-farm payrolls data awaited as New Year rally halts
* SPDR Gold Trust holdings fall 0.4 pct on Wednesday
By Risa Maeda
TOKYO, Jan 7 (Reuters) - Gold slipped on Thursday after
reaching a three-week high above $1,140 per ounce the previous
day, weighed down by investors' caution ahead of U.S. non-farm
payrolls data for December due later this week.
Economic indicators suggest the U.S. economy is recovering,
but employment is a key component for shaping the outlook for
U.S. interest rates and the dollar's direction.
Spot gold <XAU=> was at $1,133.30 an ounce as of 0313 GMT,
down 0.4 percent from New York's notional close of $1,137.90.
U.S. gold futures for February delivery <GCG0> were at
$1,133.80 per ounce, down 0.2 percent.
Spot gold rose as high as $1,140.20 on Wednesday, up 4
percent since the start of the year, on fresh new year investment
flows, partly thanks to a rise in Asian currencies against the
dollar inspiring buying from the region, traders said.
It is still well below a lifetime high of $1,226.10 struck in
early December.
"It's good to buy gold, oil and stocks as everything is up
since the start of the year," Ronald Leung, director of Lee
Cheong Gold Dealers in Hong Kong, said, referring to the recent
rally in these asset classes.
Leung said gold could reach $1,500 this year as inflation
concerns encourage investor buying, while China's bright economic
outlook means demand from the region as a whole will likely stay
strong.
But he was cautious prior to U.S. Labour Department non-farm
payrolls data on Friday.
"If the U.S. employment is still improving, it's a good sign
for the recovery in demand and the economy. But if not, they
would pull back their money for now," he said.
The non-farm payrolls data is expected to shape expectations
for when the U.S. Federal Reserve will start tightening its
ultra-loose monetary policy, which could set the direction of the
dollar.
Wednesday's data on the U.S. private job market did little to
change expectations for the more comprehensive data.
[] Economists forecast the United States lost 8,000
jobs overall last month, fewer than 11,000 lost in November.
In the currency market, the dollar was little changed, but
stayed defensive after minutes from the U.S. Federal Reserve's
latest policy meeting suggested the possibility of more stimulus
measures for the economy. []
The world's largest gold-backed exchange-traded fund, SPDR
Gold Trust <GLD>, said its holdings fell to 1,123.869 tonnes as
of Jan. 6, down 4.876 tonnes or 0.4 percent from the pervious
business day. []
Among other precious metals, spot platinum <XPT=> was little
changed after matching Wednesday's high of $1,561 per ounce, a
16-month high, on expectations of higher demand for the metal.
The auto industry, which is expected to pick up this year,
accounts for more than half the consumption of platinum.
Also, the first platinum and palladium exchange-traded funds
proposed for the United States have cleared a major hurdle with
U.S. market regulators bringing the products. []
Analysts anticipated a rush of investment dollars into
platinum and palladium if the the U.S. Securities and Exchange
Commission gives its final nod.
Spot palladium <XPD=> rose as high as $428.50 per ounce, its
highest since July 2008, before trading flat at $426.
Precious metals prices at 0318 GMT
Metal Last Change Pct chg YTD pct chg Turnover
Spot Gold 1133.20 -4.70 -0.41 3.42
Spot Silver 18.13 -0.05 -0.28 7.72
Spot Platinum 1553.50 -1.50 -0.10 5.90
Spot Palladium 426.00 0.00 +0.00 5.06
TOCOM Gold 3376.00 37.00 +1.11 3.59 61099
TOCOM Platinum 4628.00 76.00 +1.67 5.64 22034
TOCOM Silver 54.30 0.80 +1.50 5.03 1108
TOCOM Palladium 1271.00 20.00 +1.60 9.10 728
Euro/Dollar 1.4405
Dollar/Yen 92.27
TOCOM prices in yen per gram and spot prices in $ per ounce.
