Gold Holds Near Two-Week High

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Gold held near the highest level in almost two weeks as prices that declined to a four-month low spurred physical purchases. Platinum and palladium holdings in exchange-traded products expanded to records.

Gold for immediate delivery traded at $1,261.29 an ounce by 9:37 a.m. in Singapore from $1,259.90 yesterday when it reached $1,263.66, the highest level since May 28, according to Bloomberg generic pricing. Bullion fell to $1,240.73 on June 3, the lowest since Jan. 31, as U.S. economic data that beat estimates sent the Standard & Poor��s 500 Index to a record.

In China, the world��s largest bullion consumer, volumes for the benchmark spot contract in Shanghai rose for a second day yesterday to a two-week high of 12,914 kilograms, climbing from a two-month low of 8,568 kilograms on June 6. Data this week may show U.S. retail sales rose in May. U.S. employment exceeded its pre-recession peak, according to a June 7 report.

Bullion sank 28 percent in 2013 to end a 12-year bull run on speculation the Federal Reserve will reduce bond purchases used to fuel growth as the economy improves. The central bank has made four cuts since January and next meets June 17-18.

Gold for August delivery traded at $1,261.30 an ounce on the Comex in New York from $1,260.10 yesterday.

Source : Bloomberg

WTI Trades Near Three-Month High on U.S. Supplies

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West Texas Intermediate traded near the highest price in three months amid speculation that crude inventories fell for a second week in the U.S., the world��s biggest oil consumer. Brent was steady in London.

Futures were little changed in New York after declining 0.1 percent yesterday. Crude stockpiles probably dropped by 2 million barrels last week, a Bloomberg News survey shows before a government report today. OPEC nations representing 94 percent of the group��s output said they were at ease with global supply and demand before a meeting in Vienna to decide on a collective production limit.

WTI for July delivery was at $104.38 a barrel in electronic trading on the New York Mercantile Exchange, up 3 cents, at 11:15 a.m. Sydney time. The contract settled at $104.41 on June 9, the highest close since March 3. The volume of all futures traded was about 59 percent below the 100-day average. Prices have gained 6.1 percent this year.

Brent for July settlement was 9 cents higher at $109.61 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude traded at a premium of $5.18 to WTI. The spread narrowed for a third day yesterday to close at $5.17.

U.S. crude stockpiles increased by 1.5 million barrels in the week ended June 6, the American Petroleum Institute reported yesterday, according to TradeTheNews.com, a newswire. Gasoline supplies shrank by 440,000 barrels, said the industry group in Washington.

Source : Bloomberg

Yen Holds Gains Before BOJ Meeting

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The yen held a gain versus the dollar from yesterday amid speculation the Bank of Japan will refrain from expanding stimulus at a policy meeting this week.

A gauge of expected price swings in the pair remained near a record low before BOJ Governor Haruhiko Kuroda speaks at a press conference following the central bank decision on June 13. The Australian dollar traded 0.1 percent from a three-week high before a private report on consumer confidence today. The kiwi currency held gains against most of its 16 major peers amid speculation the Reserve Bank of New Zealand will raise interest rates at a third straight meeting tomorrow.

Japan��s currency was little changed at 102.31 per dollar as of 8:02 a.m. in Tokyo from yesterday, when it gained 0.2 percent. It fetched 138.59 per euro from 138.66, after advancing 0.9 percent over the past three sessions. The 18-nation currency was unchanged at $1.3547, after dropping to $1.3503 on June 5, the lowest since Feb. 6.

The Australian dollar was little changed at 93.72 U.S. cents from yesterday, when it touched 93.84, the highest since May 15. New Zealand��s currency bought 85.27 U.S. cents after strengthening 0.4 percent yesterday to 85.26.

The BOJ has been buying about 7 trillion yen ($68.4 billion) of government bonds a month since April 2013 in stimulus that tends to weaken the yen. All 33 economists surveyed by Bloomberg News forecast the central bank will keep policy unchanged at the June 12-13 meeting.

Source : Bloomberg

Gold settles above $1,260 for first time in 2 weeks

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San Francisco �� Gold futures climbed on Tuesday to settle back above $1,260 an ounce for the first time in two weeks, finding support from some weakness in U.S. equities as traders awaited economic data later in the week.

Prices for platinum group metals, meanwhile, rallied as talks aimed at ending a prolonged South African mining strike reportedly failed, lifting palladium prices to their highest close in roughly 3 years.

Gold for August delivery rose $6.20, or 0.5%, to settle at $1,260.10 an ounce on the Comex division of the New York Mercantile Exchange, extending Monday��s modest gain. Prices, tracking the most-active contracts, closed at their highest level since May 27.

July silver rose 10 cents, or 0.5%, to end at $19.17 an ounce.

U.S. retail sales figures for May are due Thursday and the U.S. May producer-price index will be released Friday. See the economic calendar.

Last Thursday, gold futures saw their largest single session gain since May 14, jumping $9, or 0.7% after the European Central Bank cut interest rates and announced a clutch of other easing moves.

Source : MarketWatch