London (Reuters) – gold prices climbed on Thursday by an appreciation of the euro amid a growing confidence of investors that Greece can achieve an exchange of bonds to prevent a cessation of payments, as well as a rebound in demand for physical metal.
** The euro climbed through the acceptance of large banks and pension funds of the exchange of bonds proposed by Greece to solve its debt crisis, what away the possibility of a disorderly reorganization of Finance of Athens.
** A group of 30 banks and funds representing 40.8 per cent of the debt by 206.000 million euros ($274 billion) of Greece said that they participate in the Exchange, which joins other entities that already had given his support to the plan.
** Gold tends to operate in line with the euro and the inverse of the dollar. This correlation has deepened this week to its highest level in two years, implying that the European currency fluctuations have more influence on the ingot than at any time since January of 2010.
** Gold spot progressed a 1.0 percent to 1.701,85 dollars per ounce.
** Gold in euros climbed 0.5 per cent, to 1.287,12 euros per ounce.
** A solid report of private employment revealed Wednesday stoked expectations of a robust official report of the labour sector of United States on Friday, which could limit the advance of gold.
** “Gold has lost some direction”, said analyst Matthew Turner Mitsubishi. “Gold, to $1,700, is at historically high levels and earnings will be difficult to sustain,” he added.
** Gold has risen 9 percent since the beginning of 2012, after 11 consecutive years of gains, in part by the injection of trillions of dollars in markets by central banks and by low interest rates, which seek to avoid a slowdown, after the 2008 financial crisis and two years of problems in the euro zone.
** The silver rose 2 per cent, to $34,03 per ounce.
** Platinum advanced 0.9 per cent, to 1.640,5 dollars per ounce.
** Palladium climbed 1.5 per cent, to 690,97 dollars per ounce.
