By Claudia Assis, MarketWatch SAN FRANCISCO (MarketWatch) — Gold futures wavered between gains and losses Monday as a rising dollar put a crimp on prices but worries about European sovereign debt again spurred investors toward the safety of bullion. Gold for December delivery (GCZ10 1,353, +0.70, +0.05%) added $1.40, or 0.1%, to $1,353.40 an ounce on the Comex division of the New York Mercantile Exchange. It earlier traded as low as $1,350.90 an ounce. Other metals got off on a mixed note to begin the holiday-shortened trading week, with silver rising but copper declining in early action. “Gold prices should remain sensitive to sovereign-risk developments,” said James Steel, analyst at HSBC in New York. “Bullion prices are likely to be influenced in the coming week by the Irish elections and the release of (Federal Open Market Committee) minutes,” he wrote in a note to clients. Gold wobbled earlier on news that Ireland late Sunday had formally applied for aid from its European partners. As the size and scope of the bailout remained unclear, however, traders moved back toward the precious metal. Worries also centered around problems that Portugal and Spain may be facing. Meanwhile, silver for December delivery (SIZ10 2,730, +11.60, +0.43%) added 10 cents, or 0.4%, to $27.28 an ounce. December copper (HGZ10 376.60, -6.75, -1.76%) retreated 7 cents, or 1.8%, to $3.76 a pound. The dollar index (DXY 78.58, +0.07, +0.09%) , which compares the U.S. unit to a basket of six currencies, recovered to move up 0.1% to 78.61 on Monday. A stronger dollar is negative for commodities as it makes them more expensive to holders of other currencies, diminishing their investment appeal. Gold futures had edged lower on Friday, mostly amassing weekly losses, as China once more raised its reserve requirements for banks, rekindling fears of further steps to rein in inflation and, by extension, growth. Gold lost 1% on the week, while silver and most other metals advanced on a weekly basis.

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