(Repeats to fix formatting with no change to text) * Gold drops to lowest since April 23 * India's buying muted after new restrictions * Gold's target of $1,395 resumed -technicalsID:nL3N0DW0NV * Coming up: U.S. industrial output; 1315 GMT (Recasts, adds Germany, France data, updates prices) By A. Ananthalakshmi SINGAPORE, May 15 (Reuters) - Gold hit a three-week low on Wednesday, stretching its losses into a fifth straight session, as the euro weakened on disappointing European growth numbers and firm equities lured away investors. Gold had risen earlier in the day as outflows from exchange-traded funds halted, but reversed direction after the euro slid to a six-week low against the dollar on data showing Germany grew by a weaker-than-expected 0.1 percent in the first quarter and France slipped into recession.ID:nL6N0DV41H Bullion's safe-haven appeal has also been dented by U.S. equities at record highs, signs of an improving U.S. economy and fears of a slowdown in demand from top consumer India. GoldXAU= was down $15.8 at $1,409.59 an ounce by 0814 GMT, after swinging between a high of $1,430.24 and the three-week low of $1,408.24. U.S. gold futures for JuneGCcv1 dropped about 1 percent to $1,408.20 an ounce. While spot gold has recovered about 7 percent from a two-year low plumbed in mid-April, prices are still down more than 14 percent for the year, on track to snap a 12-year winning run. "I think what the market is concerned about is ETF outflows," said Dominic Schnider, an analyst at UBS Wealth Management. "I wouldn't be surprised if we touch $1,405 an ounce in a short period of time. I would assume that it would help revive some physical demand," he said. The holdings of the SPDR Gold TrustGLD , the largest gold-backed ETF, were unchanged at 33.8 million ounces on Monday, after having fallen almost daily.HLDSPDRGT=XAU GOL/ETF But the holdings were still within sight of their lowest level since March 2009, hit this month after funds cut exposure to bullion following its historic April fall. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ For a gold chart analysis:http://link.reuters.com/xuc28t ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> Gold prices were also pressured as buying in India came to a halt after the central bank limited imports following a surge in buying last month that pushed up the trade deficit. India's gold and silver imports surged 138 percent in April on the year as customers exploited the lower prices.GOL/IN But India's import curbs are having only a small impact on spot gold prices, a dealer in Hong Kong said. Premiums for gold bars in Hong Kong were at $3 to $4 an ounce, the dealer added, compared with $3 last week. Hong Kong is China's main source for gold imports.GOLD/ASIA1 Gold hit a low of $1,321.35 in April after a break below the key psychological level of $1,500 ignited selling and Cyprus' plan to sell excess gold reserves prompted speculation other indebted euro zone countries could follow. But Portugal will not replicate the Cyprus deal, Bank of Portugal Governor Carlos Costa said.ID:nL6N0DV3CM PRECIOUS METALS PRICES 0721 GMT Metal Last Change Pct chg YTD pct chg Volume Spot Gold 1411.76 -13.63 -0.96 -15.69 Spot Silver 23.00 -0.36 -1.54 -24.04 Spot Platinum 1489.74 -6.76 -0.45 -2.95 Spot Palladium 716.25 -10.25 -1.41 3.50 COMEX GOLD JUN3 1410.80 -13.70 -0.96 -15.81 33937 COMEX SILVER JUL3 22.97 -0.41 -1.77 -24.03 9606 Euro/Dollar 1.2894 Dollar/Yen 102.50 COMEX gold and silver contracts show the most active months (Editing by Lewa Pardomuan and Himani Sarkar) ((ananthalakshmi.as@thomsonreuters.com)(+65 6870 3726)(Reuters Messaging: ananthalakshmi.as.thomsonreuters.com@reuters.net)) ((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra : visithttp://topnews.session.rservices.com * BridgeStation : view story .134 * Reuters Plus : from your WebDSS screen For more information on Top News, visithttp://topnews.reuters.com )) Reuters Terminal users can see related news and prices by double clicking on the codes in brackets: - All precious metals headlinesGOL - Precious metals market reportsGOL/ - Daily fixing headlinesGOL/FIX - Indian gold reportsGOL/IN - European gold pricesGOLD/EU1 GOLD/EU2 0#PREC - London interbank gold forward ratesGOFO 0#GOFO= - London silver forwardsSIFO SIFO= - Gold lease ratesLGLR 0#LGLR= - London Bullion Market AssociationLBMA01 - New York Comex gold0#GC: and silver0#SI: - New York platinum0#PL: and palladium0#PA: - Asian gold pricesGOLD/ASIA1 0#PREC - Australian precious metals prices0#AUPREC= - Shanghai Gold Exchange pricesSGE/MENU - Hong Kong gold exchange pricesHKGG - Indian bullion pricesINBULL 0#PREC-IN - Japanese producer pricesJP/PROD1 For Related News and other topics, double click on one of these codes: SPEED GUIDESCOMMOD ENERGY PRECIOUS/1 PRECIOUS/2 REUTERS )) Keywords: MARKETS PRECIOUS/
PRECIOUS-Gold reverses gains on weak euro, falls to 3-week low
Gold hit a three-week low on Wednesday, stretching its losses into a fifth straight session, as the euro weakened on disappointing European growth numbers and firm equities lured away investors.
May 15, 2013
