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US gold futures rose on Thursday, supported by bargain hunting following a retracement from above $1,000 last month and flight-to-quality buying amid steep losses in the equities markets. Gold for April delivery was up $7.00 at $913.70 an ounce at 10:39 am EST (1539 GMT) on the COMEX division of the New York Mercantile Exchange.
Ranged between $919.20 and $906.20, which marked the lowest level since February 10. April futures had declined for eight consecutive sessions after prices briefly broke above $1,000 an ounce on February 20. Steady support for gold came from investors who viewed the recent large decline as a buying opportunity -George Gero, vice president of RBC Capital Markets Global Futures. More bank woes and credit downgrades, added to investor anxiety, luring overseas buyers into gold holdings -Gero.
COMEX estimated 9:00 am volume at 29,895 lots, and options turnover at 307 lots. The gold/oil ratio was at 20.40, up from 19.95 in the previous session. Gold/S&P ratio at 1.31, the highest level since 1990. Spot gold was at $910.60 an ounce, up 0.4 percent from its last quote in New York late Wednesday. London afternoon fix at $913.00 an ounce. COMEX May silver rose 8.0 cents to $12.995 an ounce, extending last sessions rise, on golds gains. Ranged $12.890 to $13.200 an ounce.
COMEX estimated 9:00 am volume at 4,093 lots. Spot silver at $12.99 an ounce, up 0.7 percent from its Wednesday finish. Silver fixed in London at $13.15 an ounce. NYMEX April platinum up $18.10, or 1.7 percent, at $1,062.90 an ounce on pent-up buying after recent decline. Spot platinum at $1,057.00 an ounce, up 1.1 percent from its previous close. June palladium down $1.95 at $198.35 an ounce, tagging on platinums gains. Spot palladium at $194.00, down 1.0 percent from its late Wednesday New York quote.

Copyright Reuters, 2009

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