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PRECIOUS-Gold steady on weak dollar; US payrolls eyed

Published 06/02/2011, 08:53 PM
Updated 06/02/2011, 08:56 PM
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By Rujun Shen

SINGAPORE, June 3 (Reuters) - Gold held steady on Friday, supported by a weak dollar after Moody's warned about U.S. debt level as investors await key non-farm payrolls data due later in the day.

FUNDAMENTALS

* Spot gold gained 0.1 percent at $1,534.39 by 0040 GMT. U.S. gold edged up 0.2 percent to $1,535.70.

* The latest U.S. unemployment claims data showed a slight fall, while new factory orders declined in April, adding to a recent raft of data suggesting the world's top economy was losing steam. [ID:nN02246578]

* The weak data and a warning from ratings agency Moody's warned on Thursday it would consider cutting the United States top-notch credit rating if progress is not made by mid-July to raise the U.S. debt limit sent the dollar to its lowest in nearly one month against a basket of currencies . [ID:nN01214888]

* The closely watched U.S. non-farm payrolls data is expected to show an increase of 150,000 jobs in May, less than the 180,000 forecast before a report on Wednesday showed a sharp slowdown in private job growth last month, a Reuters poll showed. [ID:nN01187478]

* News that euro zone officials have agreed in principle on a new international bailout of Greece that will give it more time to try to resolve its debt crisis, pushed the euro to a one-month high against the dollar on Thursday. [ID:nLDE7510VR]

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* Spot silver edged up 0.3 percent to $36.27, on course for a 4 percent weekly decline.

* U.S. silver also rose 0.3 percent to $36.30.

* For the top stories on metals and other news, click , or

MARKET NEWS

* U.S. stocks ended a volatile trading day mostly flat on Thursday as investors were reluctant to make bets a day before a critical labor market report that could magnify fears the economy is slowing.

* The dollar index hovered just above a one-month low against a basket of currencies on Friday, after Moody's comments weighed on the greenback in the previous session.

DATA/EVENTS 0758 EZ Markit Services PMI May 2011 1130 India M3 Money Supply 40678 1200 Brazil GDP year/year Jan 2011 1230 U.S. Employment/payrolls May 2011 1930 U.S. CFTC trader commitments-futures Weekly <0#1CFTC00> 1930 U.S. CFTC trader commitments-fut&opnsWeekly <0#3CFTC00> 2350 Japan Business capex (MOF) yy Jan 2011

PRICES

Precious metals prices 0040 GMT Metal Last Change Pct chg YTD pct chg Volume Spot Gold 1534.39 1.84 +0.12 8.10 Spot Silver 36.27 0.10 +0.28 17.53 Spot Platinum 1812.99 3.39 +0.19 2.57 Spot Palladium 762.72 -4.33 -0.56 -4.60 TOCOM Gold 3998.00 -17.00 -0.42 7.21 33482 TOCOM Platinum 4765.00 -12.00 -0.25 1.47 3987 TOCOM Silver 94.30 -2.30 -2.38 16.42 1027 TOCOM Palladium 1998.00 -20.00 -0.99 -4.72 100 COMEX GOLD AUG1 1535.70 3.00 +0.20 8.04 915 COMEX SILVER JUL1 36.30 0.10 +0.27 17.32 522 Euro/Dollar 1.4510 Dollar/Yen 80.82 TOCOM prices in yen per gram. Spot prices in $ per ounce. COMEX gold and silver contracts show the most active months (Editing by Ed Lane)

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