PRECIOUS: Gold Edges Up, Aiming for 10th Quarterly Rise Since ’08 – By Reuters

Gold Recovers from Lows; Set for 10th Quarterly Increase

Gold prices saw a modest uptick on Thursday, positioning the metal for a 10th consecutive quarterly rise since 2008. This rebound followed an early dip, triggering cautious bargain-hunting ahead of the U.S. employment data scheduled for release at the end of the week.

In March, U.S. private employers reportedly added over 200,000 jobs, reinforcing expectations that the labor market’s momentum could support economic recovery. A recent poll indicated a median forecast of approximately 190,000 new jobs in the upcoming employment report, with private payrolls expected to reflect a rise of around 200,000.

Spot gold experienced an intraday low of $1,420.25 an ounce before recovering to $1,426.00 by 0315 GMT, marking an increase of $2.62. The precious metal touched $1,430 the previous day, buoyed by a renewed appetite for risk among investors.

Market sentiment appears slightly bullish, driven by lingering uncertainties. One industry expert highlighted that while the eurozone is anticipated to raise interest rates, any increase is likely to be modest.

The upcoming U.S. job report is keeping investors on edge, leading to a cautious approach in trading. Gold prices recently hit an all-time high of around $1,447, influenced by a declining dollar, unrest in the Middle East and North Africa, and growing concerns surrounding the European sovereign debt crisis.

A survey suggested that gold’s impressive price rally, which peaked last week, may slow in the second quarter due to emerging downside risks.

For April, U.S. gold futures dropped $2.4 to $1,421.4 an ounce.

European Central Bank officials have indicated a gradual approach to raising interest rates, with expectations for an increase in April becoming more pronounced.

The euro slightly strengthened to $1.4138, facing resistance levels around $1.422 and $1.4248. One major bank advised maintaining long positions in euros, targeting $1.45 with a stop-loss set at $1.402.

In the physical gold market, demand from consumers in Indonesia remained muted, while buyers from Thailand and Indonesia helped maintain premiums for gold bars at approximately 90 cents over the spot market price in Singapore.

Market participants are treading carefully, with many opting to wait for the upcoming employment data to clarify market direction. Nonetheless, demand from China, the world’s second-largest gold consumer after India, remains healthy.

In India, the high-demand wedding season is in full swing, where gold jewelry serves as a popular gift during religious celebrations and weddings.

On a broader market front, most Asian shares experienced modest gains, poised to close the quarter positively after a tumultuous period earlier in the month due to market reactions to disasters in Japan and unrest in the Middle East. The yen weakened as expectations for higher interest rates outside Japan grew.

Precious Metals Prices as of 0315 GMT:

• Spot Gold: $1,426.00 (+$2.62)
• Spot Silver: $37.65 (+$0.21)
• Spot Platinum: $1,775.49 (+$9.64)
• Spot Palladium: $755.47 (+$3.69)

(Reporting by Lewa Pardomuan; Edited by Ed Lane)