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REFILE-PRECIOUS-Factors to watch on July 4

Published 07/04/2011, 04:04 AM
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London July 4 (Reuters) - Gold regained some lost territory from the previous session on Monday supported by a weaker dollar, but easing concern about Greece's debt crisis has diminished gold's appeal as a safe haven in the short term.

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PRICES

* Spot gold was bid at $1,494 an ounce at 0640 GMT compared with $1,485.80 late in New York on Friday.

* Silver was at $34.02 from $33.94.

* Platinum was at $1,719.2 from $1,734.95.

* Palladium was at $756.8 from $754.

DATA/EVENTS

* UK markit/cips construction sector PMI for June, 0830 GMT

* Euro zone producer prices for May 0900, GMT

MARKET NEWS

* Asian equities climbed for a fifth consecutive session on Monday, led by Chinese stocks, and the euro inched higher as some near-term risks receded about Greece's funding for the rest of the year and a slowdown in China appeared relatively moderate.

* The euro pared its gains against the dollar on Monday and pulled back from a one-month high after Standard & Poor's said a debt rollover plan being considered for Greece may put the country into selective default.

* Brent crude rose above $112 a barrel on Monday, after European policy makers approved an emergency bailout for Greece and strong U.S. economic data calmed fears of weakening demand in the world's largest oil consumer.

* European shares turned negative on Monday, weighed by banks after ratings agency Standard & Poor's said current plans to involve the private sector in a second Greek bailout package would likely constitute a "selective default".

FUNDAMENTALS

* Holdings of the largest gold-backed exchange-traded-fund (ETF), New York's SPDR Gold Trust fell 0.20 percent from Thursday to Friday, while holdings of the largest silver-backed ETF, New York's iShares Silver Trust remained unchanged for the same period.

* Vane Minerals PLC announced higher grade gold/silver production as a result of a joint venture in Mexico and said it is on track to achieve its production targets for the 2011 calendar year.

* The auto industry sputtered to its second consecutive month of weaker-than-expected U.S. sales in June, marked by disappointing results from General Motors Co , Ford Motor Co and the big Japanese automakers, as the weak economy and tight supply of cars left buyers wary.

TECHNICALS

* Gold support was at $1,470 a tonne and resistance at $1,507. The 14-day RSI was at 41.6.

* Silver support was at $33.15 a tonne and resistance at $34.80. The 14-day RSI was at 40.9.

* Platinum support was at $1,698 a tonne and resistance at $1,738. The 14-day RSI was at 43.0.

For related news and prices, click on the codes in brackets: LME price overview LME aluminium <0#MAL:> LME copper <0#MCU:> Asia physicals COMEX copper futures <0#HG:> Europe physicals Scrap metal prices LME plastics RELATED NEWS AND OTHER TOPICS Base/minor metals news All metals news Metals summary Scrap metals news Index of summaries All commodities news Metals diary Weather news Foreign exchange rates SPEED GUIDES

For Reuters Metals Production Database click on URL below http://mpd.session.rservices.com (Edited by Alison Birrane)

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