LONDON: Gold prices lifted from three-week lows in Europe on Tuesday, with the metal’s appeal to investors heightened as the dollar resumed its broad decline against a basket of major currencies.
Spot gold was bid at $1,039.20 an ounce at 1207 GMT, against $1,037.10 late in New York on Monday.
“(Traders) would buy in huge quantities if prices move towards $1,033,” said one Mumbai gold dealer.
In New York, the world’s biggest gold-backed exchange-traded fund, the SPDR Gold Trust, said it saw an outflow of 1.22 tonnes on Monday. Investment demand for products like ETFs has been a major support to prices this year. Among other precious metals, spot silver was bid at $17.03 an ounce against $17.05, platinum was at $1,328.50 an ounce against $1,330.50, and palladium was at $329 against $329.50.
Copper falls on equity markets: Copper prices eased on Tuesday. Copper for three-month delivery on the London Metal Exchange traded at $6,582 a tonne in rings from $6,613 at the close on Monday and compared with a session low at $6,538.
The red metal, used in power and construction, touched a 13-month high at $6,732 a tonne on Monday before reversing gains as the dollar rallied and equities fell later in the session. In other metals, aluminium gained $19 to $2,017 in LME rings.
LME stocks of the metal, used in transport and packaging, fell 4,475 tonnes to 4.57 million tonnes, maintaining a slow retreat away from record levels which began in mid September. On Monday, aluminium touched a two-month high at $2,028.
Steel-making ingredient nickel traded at $18,950 in LME rings from $18,650 while battery material lead was untraded in official rings but last bid at $2,323 from $2,310. Zinc traded at $2,342 a tonne from $2,315 and tin was untraded in rings but last bid at $15,150 in LME rings from $15,255. Zinc touched a 17-month high at $2,365.75 on Monday as analysts cited improving physical demand. reuters
