LONDON (Dow Jones)--Spot gold is steady in Europe Wednesday and industry participants tip quiet trade to continue as liquidity remains thin heading into the year-end.
Prices have kept to a narrow $3.50 range since 0840 GMT following the previous session's rally higher, and are likely to stay rangebound in the days ahead as many players remain absent over the new year holiday period, analysts said.
At 1120 GMT spot gold traded at $1,404.14 a troy ounce, down 0.1% on the day.
A slip in the U.S. dollar together with poor house price data and technical buying spurred a gain of more than 1.6%, or $22, in the market Tuesday, said precious metals trading house MKS Finance.
But, while sentiment in the metals markets remains upbeat and a firmer euro is expected to help support gold prices at their current level, there are few catalysts seen to drive further rises.
"Economic data is thin on the ground today and will likely offer little in terms of direction," FastMarkets.com said in a daily note.
Spot silver continues to hold steady above $30/oz--its highest level in more than three weeks.
MKS Finance said silver has been the "shining light" of the metals, with a "strong buying mood" despite the ongoing holiday period. But it has also kept to a narrow range, of 13.5 cents, so far in Europe Wednesday.
At 1120 GMT, the gray metal traded at $30.337/oz, up 0.2% on the day.
The platinum group metals are down after having recorded strong gains in the past two sessions. Spot platinum traded 0.4% lower at $1,745.25/oz. Spot palladium also traded 0.4% lower at $781.35/oz.
