LONDON, Dec 23: Gold dipped on Tuesday on falling oil prices, with trading thin ahead of a slew of economic data from the US and before the Christmas holiday.
With the US dollar only slightly weakened, gold took its cue from falling oil prices that have all but eliminated talk that inflation, typically an incentive to buy bullion, might return in the current economic climate.
Spot gold was at $844.75/846.75 an ounce compared with $847.10 an ounce late in New York on Monday, and is little changed from its close in 2007 of $833.20 an ounce.
Gold looks like the only commodity that is going to end the year essentially unchanged, said Nick Moore, strategist at RBS Global Banking & Markets.
Given what has happened this year this is a very impressive performance from gold, particularly when you look at the drubbing that its side bearers -- silver, platinum and palladium -- have had, he said.
The market will be looking for guidance from US third-quarter GDP data, new and existing home sales for November and consumer sentiment figures for December.
Dealers said confirmation of a 0.5 per cent fall in final US third-quarter GDP data could drive more investors into bullion, which has rallied 12 per cent in just over two weeks as risk-averse investors seek out a safe haven to end a tumultuous 2008.
The dollar edged lower against the euro and a basket of currencies in thin trade as worries mounted about the depth of the US recession.
US crude for February delivery down 16 cents at $39.75 a barrel by 1143 GMT.
Gold is getting some support from the jewellery sector, on seasonal purchases of 9 and 18 carat gold, and on buying ahead of the Chinese New Year.
Platinum group metals (PGMs), used in vehicle catalytic converters, have been lifted by the $17.4 billion US auto bailout plan although concerns still remain about carmakers elsewhere.
Spot platinum rose to $853.00/858.00 from $848.50, spot palladium was at $170.5/175.5 from $170.00, while silver was at $10.78/10.86 versus $10.81.
