* Gold's scales new high on weak dollar, economic
uncertainty
* SPDR Gold holdings up 2nd day, underlying safe-haven
demand
* Spot platinum reaches highest since Aug 2008
By Risa Maeda
TOKYO, Dec 2 (Reuters) - Gold hit a record high for the
second straight day on Wednesday as the dollar remained weak
and economic uncertainty, underscored by Dubai's debt woes,
continued to support gold as a safe-haven asset.
Spot gold <XAU=> extended gains after hitting $1,207.15 an
ounce in the current session, to stand as high as $1,207.65 by
0234 GMT, versus New York's notional close of $1,196.00.
U.S. gold futures for February delivery <GCG0> hit a record
high $1,210 an ounce before trading up 0.6 percent at $1,207.80
in after-hours electronic trading.
Gold is set to rise further on worries over risks in new
economies with a U.S. interest rate hike unlikely for at least
six months, given a shaky recovery in the world's biggest
economy, said Ronald Leung, director of Hong Kong's Lee Cheong
Gold Dealers.
But he also expressed caution over the pace of the rally.
"There has been too much good news and not so much bad news
for gold," he said. "People are cautious at every record high
level."
Spot platinum <XPT=> inched up from the previous day's high
to $1,486.00 an ounce on Wednesday, its highest since August
last year.
Bullion's previous high was $1,201.40, struck on Tuesday.
Strength in gold lifted other precious metals, with silver
<XAG=> and palladium <XPD=> rallying to their strongest levels
since July 2008 on Tuesday.
In the currency market, the dollar was broadly on the
defensive on Wednesday while the euro <EUR=> and high-yielding
currencies extended impressive gains as investor risk appetite
showed little sign of waning ahead of the year end. []
The world's biggest gold miner, Barrick Gold Corp <ABX.TO>,
said on Tuesday it had completed the elimination of all of its
gold hedge-selling positions as planned. []
De-hedging has represented a significant source of demand
in recent years.
The rate at which gold miners cut their hedging positions
rose to 3.18 million ounces in the third quarter, up from
980,000 ounces in the second quarter, driven by Barrick's
decision to eliminate its entire hedge book, Societe Generale
and metals consultancy GFMS Ltd said in its quarterly report.
[]
The sharp reduction left the global gold hedge book at
11.55 million ounces, the report said, adding that there has
not been strong signs of a return to outright hedging to lock
in historically high prices.
The world's largest gold-backed exchange-traded fund, the
SPDR Gold Trust <GLD>, said its holdings rose 0.61 tonnes or
0.05 percent to 1,130.604 tonnes on Tuesday. []
Precious metals prices at 0159 GMT
Metal Last Change Pct chg YTD pct chg
Turnover
Spot Gold 1202.70 6.70 +0.56 36.65
Spot Silver 19.14 0.07 +0.37 69.08
Spot Platinum 1482.50 4.00 +0.27 59.07
Spot Palladium 381.50 1.50 +0.39 106.78
TOCOM Gold 3368.00 42.00 +1.26 30.90
62058
TOCOM Platinum 4149.00 51.00 +1.24 56.45
8883
TOCOM Silver 536.00 15.40 +2.96 67.87
501
TOCOM Palladium 1067.00 37.00 +3.59 94.00
257
Euro/Dollar 1.5079
Dollar/Yen 86.78
TOCOM prices in yen per gram, except TOCOM silver which is
priced in yen per 10 grams. Spot prices in $ per ounce.
(Editing by Clarence Fernandez)
((risa.maeda@thomsonreuters.com; +81 3 6441 1856; Reuters
Messaging: risa.maeda.reuters.com@reuters.net))
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