Gold was within sight of its lowest level in eight months on Wednesday, barely reacting to a slight drop in the US dollar as investors reassessed their positions after bullion dropped more than 7 percent this week.
Gold eased to $813.85/815.05 an ounce from $814.50/815.50 an ounce late in New York on Tuesday, when it tumbled to $801.90 ounce - its lowest level since late December as investors ditched bullion as the dollar surged. Silver and palladium also shed early gains. Platinum advanced in a technical rebound but there were no signs of buying from automakers, with most Japanese car plants closed for summer holidays.
Spot platinum rose to $1,496.00/1,516.00 an ounce from $1,469.50/1,489.50 late in New York, off Tuesday's eight-month low at $1,462 an ounce. It briefly regained $1,500 on Wednesday in a technical rebound on early buying in Tokyo futures.
Platinum hit a lifetime high $2,290 in early March after a power shortage in main producer South Africa disrupted mining and sparked supply worries. Profit-taking and worries about falling demand for autocatalysts have erased all of this year's gains. Autocatalysts account for more than 60 percent of global platinum use. Spot palladium rose to $312/317 an ounce from $305.00/313.00 an ounce. Silver edged down to $14.58/14.66 an ounce from $14.60/14.66 late in New York. The most active Tokyo gold contract for June 2009 delivery on the Tokyo Commodity Exchange fell 56 yen per gram to 2,866 yen.