SINGAPORE, Dec 21 (Reuters) - Gold steadied on Monday,
retaining sharp gains from the previous trading session, as
weakness in the dollar and equities helped the metal recoup some
losses from a U.S. interest rate hike last week.
FUNDAMENTALS
* Spot gold XAU= had eased 0.2 percent to $1,064.16 an
ounce by 0039 GMT, but largely retained its 1.4-percent gain
from the previous session.
* The metal saw some safe-haven bids on Friday after global
equity markets fell sharply as slumping oil prices raised
concerns about slower growth, while the dollar slipped against
the yen on views the Bank of Japan may not ease policy as much
as expected. MKTS/GLOB
* Asian share markets got off to a lacklustre start on
Monday following a dive on Wall Street, though losses were
limited by a general lack of investor interest in a
holiday-heavy week.
* Gold's Friday move followed a 2-percent loss in the
session prior to that, the metal's biggest single day loss in
five months, as the Federal Reserve raised U.S. interest rates
for the first time in nearly a decade.
* Concerns that demand for non-interest-paying bullion will
take a hit from the rate hike continue to cast a shadow, and
will likely limit any rally in gold.
* The Fed will raise interest rates again in the next three
months, according to two-thirds of economists polled by Reuters,
although many say rates won't rise as quickly next year as
policymakers have suggested.
* Bullion is still not too from a near-six-year low of
$1,047.25 reached last week. The metal could revisit $1,000 for
the first time in six years if it breaks below its early
December low at $1,045, according to technical analysts.
* Speculators built a record bearish bet in COMEX gold in
the week leading up to a long-awaited decision from the Fed to
hike U.S. interest rates, U.S. Commodity Futures Trading
Commission data showed on Friday.
* Their bearish stance in bullion surpassed a record set two
weeks ago, as they added 7,793 lots to build a net short
position of 21,881 lots.
* SPDR Gold Trust GLD , the world's largest gold-backed
exchange-traded fund, said its holdings rose 2.98 percent to
648.92 tonnes on Friday, the first increase in two months.
* The total assets had fallen to a seven-year low last week.
GOL/ETF
* For the top stories on metals and other news, click
TOP/MTL or GOL
DATA AHEAD (GMT)
0700 Germany Producer prices Nov
1330 U.S. National activity index Nov
1500 Euro zone Consumer confidence flash Dec
PRICES AT 0039 GMT
Metal Last Change Pct chg
Spot gold 1064.16 -1.65 -0.15
Spot silver 14.04 -0.03 -0.21
Spot platinum 855.43 -3.12 -0.36
Spot palladium 555.15 -0.07 -0.01
Comex gold 1063.7 -1.3 -0.12
Comex silver 14.07 -0.026 -0.18
COMEX gold and silver contracts show the
most active months