Gold prices dip more than 2%, copper falters

LONDON: Gold prices fell more than tworcent in Europe on Thursday, pressured by the dollar’s rise to 3-1/2 month highs against the euro as new concerns emerged over Greece’s fiscal health. Spot gold was bid at $1,113.40 an ounce at 1606 GMT, against $1,137.80 late in New York on Wednesday. Earlier it touched a low of $1,111.60. US gold futures for February delivery on the COMEX division of the New York Mercantile Exchange fell $21.70 to $1,114.50 an ounce. Among other precious metals, silver was at $17.30 an ounce against $17.67 and platinum at $1,431 versus $1,451.50. Palladium was bid at $367.50 against $371.50. Copper prices falter: Copper prices faltered on Thursday as the dollar hit three-month highs against a currency basket, but analysts said a healthier global demand outlook was expected to fortify sentiment and prices. Benchmark copper on the London Metal Exchange traded at $6,900 a tonne by 1528 GMT from $7,039 at the close on Wednesday, when the metal used in power and construction touched $7,067, the highest since Dec 8. Aluminium stocks hit a record high above 4.637 million tonnes, nearly double the levels seen at the start of 2009. However, prices of the metal used widely in transport and packaging are up about 45 percent this year because about 70 percent of LME stocks are tied up in financing deals until May and so are not available to the market. Tin prices bucked Thursday’s softer trend in metals and and rose to their highest in six months at $15,750. Tin stocks are currently at 26,400 tonnes, down only about 500-600 tonnes from the seven-year high hit in November. But LME data shows between 80-90 percent of the stocks are held by a single dominant position. Nickel traded at $17,200 a tonne from $17,500 at the close on Wednesday, aluminium at $2,244 from $2,276 and zinc at $2,415 from $2,434. Battery material lead traded at $2,360 a tonne from $2,410. reuters