Gold rose 1% in Europe on Friday, recouping some of the previous session’s hefty 3,5% losses, as the dollar ceded some ground after hitting a 3-1/2 month high against the euro in the previous session.
Spot gold was bid at $1109,60 an ounce at 1200 GMT, against $1097,80 late in New York on Thursday. US gold futures for February delivery on the COMEX division of the New York Mercantile Exchange rose $3,70 to $1111,10.
Prices have found good support around $1080-1100, analysts say, but they may be vulnerable to further losses through to year-end, especially if further dollar strength is seen.
Gold found good support after its slide to near 6-week lows yesterday. “So far the metal has however managed to stay above the support level of $1080 an ounce,” said precious metals trading house Heraeus in a weekly report.
