Friday, March 4, 2011

gold prices bid in 4 march 2011

gold prices bid in 4 march 2011 : Gold prices held steady on Friday, after falling sharply in the previous session, as investors watched the unfolding unrest in the Middle East and North Africa, as well the key US payrolls data for clues of the health of the economy.

Spot gold was little changed at $US1,416.44 an ounce by 1148 AEDT.

US gold futures held steady at $US1,417.30.

The news that the European Central Bank may hike interest rates in April, far earlier than expected, combined with Venezuela's proposal to help end the turmoil in Libya, knocked down gold from a record of $US1,440.10 hit on March 2.

Eyes are on the US non-farm payrolls data, due later in the day to assess the recovery of the job market.

Holdings in the SPDR Gold Trust, the world's largest physically backed exchange-traded fund, fell to 1,210.621 tonnes, their lowest since mid-May last year.

Holdings in the iShares Silver Trust rose to two-month high of 10,794.89 tonnes.

Investors betting on a big gain in US payrolls pushed Wall Street to its best one-day rally in three months on Thursday, but weak volume lingers as a concern for those hoping for another leg higher.

Oil prices held steady on Friday, after falling off 2-1/2-year highs on Thursday after Venezuela pitched a plan to resolve the Libyan crisis.

An explosive rally in the euro took a breather early in Asia on Friday ahead of influential US jobs data, but the single currency is set to stay bid after the European Central Bank signalled an interest rate hike as early as next month.
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