PRECIOUS-Gold rises towards $960 as dollar weakens

                                
 TOKYO, Aug 31 (Reuters) - Gold climbed towards $960 on
Monday, approaching the three-week high it hit in the previous
session, lifted by strong investment demand and buying linked to
a weaker dollar.
                                
 FUNDAMENTALS
                                
 * Gold <XAU=> was at $959.55 an ounce at 2359 GMT, up 0.5
percent from the New York notional close of $954.45.
                                
 * U.S. gold futures for December delivery <GCZ9> were at
$960.50 an ounce, up 0.2 percent.
                                
 * The world's largest gold-backed exchange-traded fund, the
SPDR Gold Trust <GLD>, said holdings stood at 1,061.83 tonnes as
of Aug. 28, steady from the previous business day. [GOL/SPDR]
                                
 * Noncommercial net long U.S. gold futures positions rose 3.1
percent to 182,982 lots in the week to Aug 25 from 177,530 lots,
a weekly report by the U.S. Commodity Futures Trading Commission
showed.  [ID:nN28604357]
                                
 MARKET NEWS
                                
 * The yen was trading modestly firmer on Monday after the
Democratic Party of Japan (DPJ) ousted the ruling Liberal
Democratic Party in a landslide, putting an end to election
uncertainty.  [USD/]
                                
 * U.S. crude oil <CLc1> rose to extend gains above $73 on
Monday, supported by a slightly weaker U.S. dollar and optimism
that world energy demand would rise on the back of a global
economic recovery. [O/R]
                                
 * U.S. stocks mostly slipped on Friday after a week consumer
sentiment report offset positive news from bellwethers Dell Inc
<DELL.O> and Intel Corp <INTC.O>.
                                
 DATA EVENTS
                                
 * The following data is expected on Monday: <ECON>
                                
 - Australia August TD-MI inflation gauge         (0030 GMT)
                                
 - Australia Q2 business inventories and profits  (0130 GMT)
                                
 - Australia July private credit                  (0130 GMT)
                                
 - Japan July housing starts, construction orders (0500 GMT)
                                
 - Italian June retail sales                      (0800 GMT)
                                
 - Euro zone August flash HICP                    (0900 GMT)
                                
 - Chicago August PMI                             (1345 GMT)
                                
 - Dallas Fed August Texas manufacturing survey   (1430 GMT)
                                
 RELATED NEWS
 >Gold hits 3-week high on currency-related buying         [GOL/]
 >Sugar nears 30-year high, soybeans rally             [COM/WRAP]
 >Union says S.African strike at Implats continues [ID:nLT448822]
 >Japan Democrats take power, tough challenges loom [ID:nT356076]
 >US consumer spending up, morale at 4-month low  [ID:nN28358241]
                                
 PRICES
                                
 Precious metals prices at 2353 GMT
  Metal         Last      Change  Pct chg  Day ago pct  MA 30 RSI
 Spot gold     $958.45    $4.00  +0.42%    +6.85%    $860.10  65
 Spot silver    $14.82    $0.08  +0.54%   +23.71%     $11.29  70
 Spot plat    $1241.50   -$2.50  -0.20%    -0.20%   $1239.00  51
 COMEX gold    $958.70    $1.20  +0.13%    +1.40%    $949.05  63
 TOCOM gold      2,884       13  +0.45%    +0.87%      2,904  47
 TOCOM plat      3,753       11  +0.29%    +0.91%      3,775  47
 Currencies
 Euro/dlr       $1.430  -$0.001  -0.04%    +0.03%
 Dlr/yen         93.37     0.12  +0.13%    -0.29%
 TOCOM prices in yen per gram, except TOCOM silver which is
priced in yen per 10 grams.  Spot prices in $ per ounce.
 (Reporting by Miho Yoshikawa; Editing by Chris Gallagher)