SINGAPORE, April 22 (Reuters) - Gold slipped from a
five-week high and silver traded below its 11-month peak on
Friday as the dollar strengthened against the euro, but the
metals were headed for weekly gains buoyed by a rally
commodities.
FUNDAMENTALS
* Spot gold XAU= eased 0.2 percent to $1,246.20 an ounce
by 0042 GMT. Gold hit a five-week high of $1,270.10 on Thursday,
but pared some gains after the dollar regained ground versus the
euro.
* The euro reversed course to trade lower against the dollar
on Thursday after traders saw potential for the European Central
Bank to eventually increase its stimulus measures if necessary.
USD/
* For the week gold has gained 1 percent, largely on the
back of silver's near-5-percent rally this week.
* Spot silver XAG= hit an 11-month peak of $17.695 on
Thursday although it also later pared gains on dollar strength.
* Silver's rally has been spurred by a break above key chart
resistance and optimism over China, where recent data has showed
new debt fuelling a recovery in factory activity, investment and
household spending.
* Other metals used in manufacturing have also risen on
hopes of Chinese demand. Copper jumped to a four-week high,
while steel soared to a 19-month top on Thursday.
* The 19-market Thomson Reuters Core Commodity Index
.TRJCRB climbed to a 4-1/2-month high on Thursday before a
sell-off.
* Among other precious metals, platinum XPT= was set to
log its best week in seven with a 4 percent rise. It had climbed
to a 9-1/2-month high of $1,043.72 an ounce on Thursday.
* Palladium XPD= was poised for a weekly rise of 7
percent, after climbing to its highest since November on
Thursday.
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TOP/MTL or GOL
MARKET NEWS
* The euro steadied on Friday after a volatile overnight
session following the European Central Bank meeting as markets
were caught between the ECB's steady stance for now and
expectations of further stimulus down the road.
DATA AHEAD (GMT)
0700 France Markit manufacturing flash PMI Apr
0730 Germany Markit manufacturing flash PMI Apr
0800 Euro zone Markit manufacturing flash PMI Apr
1345 U.S. Markit manufacturing flash PMI Apr
PRICES AT 0042 GMT
Metal Last Change Pct chg
Spot gold 1246.2 -2.26 -0.18
Spot silver 16.965 -0.033 -0.19
Spot platinum 1019.25 -1.75 -0.17
Spot palladium 606 5 0.83
Comex gold 1247.6 -2.7 -0.22
Comex silver 16.985 -0.105 -0.61
COMEX gold and silver contracts show the
most active months