* Oil stabilises after 12 percent fall
* Traders await non-farm payrolls data due Friday
* HSBC raises 2009, 2010 gold price forecasts
(Updates throughout, changes dateline, pvs TOKYO)
By Jan Harvey
LONDON, Jan 8 (Reuters) - Gold steadied above $840 an ounce
in Europe on Wednesday as oil prices stabilised after a 12
percent slide, and traders awaited key U.S. non-farm payrolls
data due on Friday for fresh impetus.
Spot gold <XAU=> was quoted at $841.45/843.45 at 1020 GMT,
against $842.20 an ounce in New York late on Wednesday. U.S.
gold futures for February delivery <GCG9> on the COMEX division
of the New York Mercantile Exchange were up 80 cents at $842.50.
"At the beginning of the year people are trying to get into
position, so many things surrounding the market are influencing
gold at the moment," Afshin Nabavi, head of trading at Geneva's
MKS Finance, said. "People are looking for direction."
"We have held the $840 area quite well in the last couple of
days," he added.
The main external driver of gold, the dollar, firmed a touch
against the euro ahead of an expected interest rate cut from the
European Central Bank next week. []
The euro softened after euro zone economic data came in
weaker than expected. Sentiment figures fell by more than
expected in December, while unemployment rose as expected.
[]
"Worse-than-expected statistics should weigh on industrial
metals' investment sentiment, including platinum group metals
and perhaps silver, and possibly also propel the greenback
higher against the euro," Standard Bank analyst Manqoba Madinane
said.
"We believe this should keep precious metals' downside risks
elevated throughout the day," he added.
Oil prices, which weighed heavily on gold on Wednesday,
stabilised after sliding 12 percent in the previous session on
data showing a larger than expected rise in U.S. crude stocks.
FORECASTS
HSBC said it is raising its 2009 and 2010 gold price
forecasts to $825 on expectations the faltering global economy
will prompt investors to buy into the metal as a haven from
risk.
The bank raised its 2009 gold forecast to $825 an ounce from
$800, and its 2010 price view to $775 from $725, but left its
long-term forecast at $700.
"We believe gold will attract safe-haven buying from
risk-averse investors this year, as economic uncertainties are
likely to persist for the foreseeable future," HSBC analyst
James Steel said in a research note.
The bank cut its 2009 price view for platinum by 15 percent,
however. It sees demand falling as the economic slowdown hits
industrial users of the white metal, such as carmakers.
Spot platinum <XPT=> edged up to $985/990 an ounce from
$972.50 in New York late on Wednesday. The metal has held firm
this week despite gold's fall and a spate of bad news from
carmakers, the main buyers of platinum.
"This relative strength is mainly attributable to the fact
that the former price slump was exaggerated and the negative
news was consequently already factored in," Commerzbank said.
"Furthermore, there is optimism at the moment that the
rescue measures for the U.S. car industry and the various huge
economic stimulus packages worldwide will bring a recovery in
the demand for platinum in the medium term."
"The very weak car sales figures are therefore being
overlooked near term," it added.
Among other precious metals, silver <XAG=> was at
$10.98/11.06 against $11.01, while palladium <XPD=> eased to
$193.50/198.50 an ounce from $195.
(Reporting by Jan Harvey; Editing by Sue Thomas)
