* Risk aversion pressures stocks, commods, lifts dollar * SPDR gold ETF holdings hit another record high * Traders eye jobs data later in the week
(Updates, adds comment, previous SINGAPORE)
By Jan Harvey
LONDON, June 2 (Reuters) - Gold held above $1,220 an ounce in Europe on Wednesday, consolidating after the previous session's gains, with a rise in risk aversion underpinning demand for the metal as a haven from risk.
The dollar strengthened, equity markets slipped and oil prices declined as persistent fears the euro zone's debt crisis could jeopardise the wider economic recovery continued to pressure assets seen as higher risk.
Spot gold <XAU=> was bid at $1,221.25 an ounce at 0909 GMT, against $1,224.30 late in New York on Tuesday. U.S. gold futures for June delivery <GCM0> on the COMEX division of the New York Mercantile Exchange eased $3.90 to $1,220.90 an ounce.
"Things are definitely pointing to high risk aversion at the moment," said Commerzbank analyst Eugen Weinberg. "There is an uneasy feeling on the markets, and risk assets like industrial metals are being depressed by this."
He said a rise in gold coin sales by the U.S. Mint in May to their highest level since 1999 pointed to elevated risk aversion among private investors. []
Holdings of the world's largest gold-backed exchange-traded fund, New York's SPDR Gold Trust <GLD>, also rose 0.3 tonnes to a record 1,268.234 tonnes on Tuesday. []
The euro <EUR=> stayed under pressure amid concern over the indebtedness of some euro zone economies, with the unit unable to sustain a move higher made after some of the world's major central bankers said they would not stop investing in the single currency. []
Usually a weaker euro would weigh on gold, but the precious metal has given up its usual strong negative correlation with the U.S. dollar as both assets benefit from risk aversion.
"Many of the current market conditions for gold closely resemble those of Q1 2009 -- elevated coin and bar demand, stellar ETF creations, increased Comex positioning and a positive correlation with the U.S. dollar index," said UBS analyst Edel Tully in a note.
"The gold/dollar correlation has turned positive for the first time since May 2009."
STOCKS, COMMODITIES FALL
Equity markets fell in Europe, meanwhile, with banks under pressure and BP <BP.L> down after the United States launched a criminal probe into the Gulf of Mexico disaster. Asian stocks fell in earlier trade on risk aversion. [] []
Other commodities also came under pressure, with oil dropping more than 1 percent to below $72 a barrel, and industrial metals easing across the board. [] []
The financial markets are awaiting U.S. jobs data due later in the week, culminating in May's key non-farm payrolls number on Friday, for clues as to the next direction of trade.
Among other precious metals, platinum <XPT=> was at $1,534 an ounce against $1,545, while palladium <XPD=> was at $443.90 against $454.50, declining amid concern over the demand outlook for industrial metals.
Platinum group metals traders are currently awaiting car sales data from the U.S., China and Europe. The PGMs were supported early in the year by strong investment demand, but there are signs this is plateauing.
Data showed holdings of the U.S. platinum exchange-traded product operated by a unit of ETF Securities fell in May for the first calendar month since their January launch, declining to 334,249 ounces from 349,425 ounces at the end of April.
Elsewhere spot silver <XAG=> was bid at $18.32 an ounce against $18.37. (Editing by James Jukwey)
