* Gold set for biggest quarterly drop since Q3 2014
* Traders eyeing Fed for clues on interest rates
* Platinum heading for worst quarter in 7 years
* GRAPHIC: Gold vs platinum: http://link.reuters.com/xez92s
(Updates prices, adds comment, byline, NEW YORK dateline)
By Luc Cohen and Jan Harvey
NEW YORK/LONDON, Sept 30 (Reuters) - Gold hit its lowest
level in two weeks and recorded its biggest quarterly loss in a
year on Wednesday as U.S. jobs data came in stronger than
expected and the market awaited clarity on the timing of a hotly
anticipated U.S. interest rate rise.
That capped off gold's worst quarter since the third quarter
of 2014, having fallen nearly 5 percent since July. It was its
fifth successive quarter of losses, the longest such streak
since 1997.
Platinum remained on track for its biggest quarterly loss in
seven years after plunging to its lowest level since December
2008 on Tuesday on fears of a drop in demand for diesel cars in
the wake of the Volkswagen (XETRA:VOWG) emissions scandal.
Spot gold XAU= was down 1 percent at $1,115.30 an ounce at
3:05 p.m. EDT (1905 GMT), while U.S. gold futures GCv1 for
December delivery were down $11.60 an ounce at $1,115.20.
The metal has come under pressure from expectations that the
U.S. Federal Reserve is set to hike interest rates this year,
potentially lifting the opportunity cost of holding non-yielding
bullion while boosting the dollar, in which it is priced.
Bullion fell as low as $1,111.60 on Wednesday, its lowest
level since Sept. 16, after a report showed that U.S. private
employers added 200,000 jobs in September, beating a forecast
for 194,000 among economists polled by Reuters. ID:nL1N12011G
"The more positive the news is, the more bearish it is to
gold from here on," said Eli Tesfaye, senior market strategist
for brokerage RJO Futures in Chicago, noting that a report
earlier this month showing record-high U.S. job openings was
still contributing to negative sentiment on gold.
Spot platinum XPT= was down 1 percent at $904.75 an ounce,
and has fallen nearly 16 percent this quarter.
The metal was hit last week by news of Volkswagen's
falsification of U.S. vehicle emission tests, which some
investors believe could affect demand for diesel cars. Platinum
is widely used in emissions-controlling automotive catalytic
converters, particularly for diesel engines. ID:nL5N11U1VD
"In the short term at least, the condition of oversupply in
platinum is likely to prevail," Mitsubishi analyst Jonathan
Butler said.
Spot palladium was down 0.5 percent at $650.75, closing the
quarter down nearly 3 percent for its third consecutive
quarterly loss. Silver XAG= was down 0.6 percent at $14.52 an
ounce and closed the quarter down nearly 8 percent.