Gold declined from a one-month high, as signs that Europe's debt crisis was easing curbed demand for haven assets. Silver, platinum and palladium also dropped. Gold for immediate delivery fell 0.9 per cent to $US1635.05 an ounce.
Goldman Sachs reiterated an ''overweight'' recommendation on commodities over the next 12 months, while maintaining its target for a 15 per cent gain in the S&P GSCI Enhanced Commodity Index. It backed gold, oil and copper and forecast bullion prices to reach $US1940 an ounce.
Bullion rose 10 per cent last year, as investors sought to diversify away from equities and some currencies. While gold lost 15 per cent since September, it is up 4.7 per cent this year.
