* U.S. jobs data to provide clues on gold's direction
* SPDR Gold holdings unchanged, near record
By Miho Yoshikawa
TOKYO, Jan 4 (Reuters) - Gold prices inched up above $1,100
an ounce on Monday, in cautious trade ahead of U.S. December
employment data due later this week that could add to optimism
about the economy.
A strong reading would likely add to the view that economic
growth will be robust this year. That could stir talk that the
Federal Reserve might raise interest rates sooner than expected,
which would likely strengthen the dollar but pressure gold.
The precious metal is often bought as an alternative to the
dollar.
Investors were waiting to see whether index fund buying would
emerge in New York on Monday as a gauge of gold's near-term
direction, said Kazuhiko Saito, chief analyst at Tokyo's Fujitomi
Co Ltd.
He added that the U.S. December employment report due on
Friday would also grab the spotlight.
"If we get strong figures on Friday, that could accelerate
talk about revising interest rates," Saito said.
He said gold could come under downward pressure in
January-March, seasonally a period when physical buying slows,
including from major consumer India, and Friday's U.S. data could
help provide clues on gold's direction until March.
The U.S. non-farm payrolls report is expected to show U.S.
employers cut 20,000 jobs in December, according to economists
polled by Reuters, after the economy shed a much
lower-than-expected 11,000 jobs in November. []
Spot gold <XAU=> stood at $1,101.90 an ounce as of 0649 GMT,
up 0.5 percent from New York's notional close of $1,096.35. It
has so far moved between $1,093.05 and $1,103.70.
U.S. gold futures for February delivery <GCG0> stood at
$1,102.80 an ounce, up 0.6 percent from Dec. 31.
Gold prices made consistent gains in 2009, rising about 25
percent, due to bullion's role as a hedge against economic
uncertainties after the worst economic crisis since the Great
Depression.
It was up over $210 an ounce in the biggest dollar gains
since 1979.
The world's largest gold-backed exchange-traded fund, SPDR
Gold Trust <GLD>, said its holdings stood at 1,133.622 tonnes as
of Dec. 31, unchanged from the previous business day and near the
all-time high of 1,134.03 tonnes marked on June 1. []
The dollar edged down from a four-month high against the yen
but climbed against other majors on Monday, the first trading day
of 2010, as investors focus on U.S. data this week. []
Japan's Nikkei average hit a 15-month closing high on Monday,
its first trading day this year, buoyed by exporters on a weaker
yen. []
Precious metals prices at 0645 GMT
Metal Last Change Pct chg YTD pct chg Turnover
Spot Gold 1102.80 6.45 +0.59 0.65
Spot Silver 17.00 0.16 +0.95 1.01
Spot Platinum 1481.00 15.50 +1.06 0.95
Spot Palladium 414.00 8.50 +2.10 2.10
TOCOM Gold 3306.00 47.00 +1.44 1.44 46509
TOCOM Platinum 4451.00 70.00 +1.60 1.60 17720
TOCOM Silver 51.20 -0.50 -0.97 -0.97 905
TOCOM Palladium 1247.00 82.00 +7.04 7.04 1145
Euro/Dollar 1.4290
Dollar/Yen 92.93
TOCOM prices in yen per gram. Spot prices in $ per ounce.
(Reporting by Miho Yoshikawa; Editing by Chris Gallagher)
