New York - Arabstoday
Gold for February-delivery was little changed at $1,612.40 by 7:30am on the Comex in New York. Gold for immediate delivery was little changed at $1,611.80 an ounce in London. The euro slumped to the lowest since September against the US dollar after Greek Prime Minister Lucas Papademos warned his country may face economic collapse as soon as March. \"Euro\'s weakness is putting pressure on gold,\" said Ole Hansen, vice-president of trading advisory at Saxo Bank in Copenhagen. \"We are at the beginning of a new year so traders are lacking strong conviction, leaving room for these markets to be volatile. Bullion still trades as a risky asset.\" The euro slumped as much as 0.9 per cent against the US dollar to the lowest since September 12. Article continues below Spot gold denominated in euros rose as much as 1 per cent to €1,257.51 ($1,614.27) an ounce, the highest since December 14, before trading at €1,254.41. Futures have gained 2.8 per cent since December 30 as tension between Europe and Iran increased over its nuclear programme. Gold advanced 10 per cent last year, extending gains for an 11th year, buoyed by haven demand driven by Europe\'s debt crisis. Holdings in exchange-traded products, which hit a record 2,392.976 metric tonnes on December 13, rose yesterday for the first time since December 29, according to data compiled by Bloomberg.