BD; Gold little changed as traders mull Goldman impact
Gold traded little changed below $US1140 an ounce in Asia as traders weighed the likely impact of regulatory action against Goldman Sachs Group on investor demand for commodities.
Gold for immediate delivery swung between a gain of 0.2 per cent and a matching decline before trading little changed at $US1137.60 an ounce. The metal plunged to $US1124 an ounce yesterday, the lowest since April 6, as the action against Goldman spooked investors, and helped lift the dollar to a one-week high against its major counterparts.
''The cautious mood still dominates the markets on the Goldman fallout,'' said Hwang Il Doo, a senior trader with KEB Futures in Seoul. ''But the precious metals complex is most likely to be influenced by the path of the dollar.''
The greenback was barely changed against a basket of six currencies after three days of gains as investigations into Goldman spread to Europe. UK Prime Minister Gordon Brown called for regulators to investigate Goldman, and Germany signaled it may begin its own probe.
The Reuters/Jefferies CRB Index of 19 raw materials fell as much as 1.3 per cent yesterday after declining 1.2 per cent on April 16. Goldman is the biggest US commodity brokerage.
Silver increased 0.5 per cent to $US17.83 an ounce, platinum advanced 0.1 per cent to $US1697 an ounce and palladium fell 0.2 per cent at $US536.75 an ounce.
