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Tokyo gold futures fell on Thursday in line with spot bullion's decline in Asia, with selling on profit-taking outpacing buying.
The benchmark December 2004 gold contract on the Tokyo Commodity Exchange (TOCOM) settled down 17 yen per gram at 1,430 yen, after wavering between 1,425 and 1,435 yen.
Other months fell by 17-20 yen.
"The pressure came from spot gold, which has been trading at below $420 (an ounce) in Asia since the," a Tokyo trader said.
This appears to have prompted traders to choose to sell on profit taking, he said.
Total gold turnover was estimated at healthy 121,478 lots, or about 121.5 tonnes, more than double on Wednesday's 59,685 lots.
Spot gold prices fell in Asia due to profit taking. That trend tracked Comex gold prices, which fell overnight also on profit-taking as the dollar rose on US data showing the smallest trade deficit in 13 months.
The data also showed no sign of inflation. Silver fell a more dramatic 2.5 percent, as investment funds liquidated long positions in precious metals.
In the spot market, bullion was fetching $418.75/9.50 an ounce at TOCOM's closing bell, compared with $421.40/2.15 last quoted in New York.
The dollar was fetching 106.22/27 yen, against 106.18/20 yen at about the same time on Wednesday.
Below are closing prices for TOCOM's most active precious metals contracts, with the day's turnover for each metal.

Copyright Reuters, 2004

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