* Gold's rout deepens after early-week slide
* Macquarie cuts gold price forecasts through 2019
* Coming up: U.S. new home sales at 1400 GMT
(Adds China data, updates prices)
By Manolo Serapio Jr
MANILA, July 24 (Reuters) - Gold slid more than 1 percent to
its lowest since early 2010 on Friday, on course for its biggest
weekly loss in nine months, as upbeat U.S. jobs data helped
deepen this week's rout and fuelled fears the metal still has
some way to fall.
A breach of key support levels pushed more sellers to cut
their exposure and market players warned that gold prices could
fall further before any convincing recovery.
Bullion tumbled 3.3 percent on Monday, the biggest drop
since September 2013, in a sell-off accompanied by big trading
volume in New York and Shanghai. Friday's drop to session lows
also saw sizable volume on those exchanges.
Spot gold XAU= fell as much as 1.2 percent to 1,077 an
ounce, its lowest since February 2010. It was down 0.5 percent
at $1,084.80 at 0610 GMT.
The metal has lost more than 4 percent this week, its
steepest weekly drop since October last year.
"I think there's still a bit of a hangover from what
occurred earlier in the week," said Victor Thianpiriya, a
commodity strategist at ANZ Bank in Singapore.
"The technical picture looks pretty bad and U.S. data has
been stronger than expected. I don't expect to see any
meaningful bounce until we get to around $1,040 and I think some
of these sellers know that."
U.S. gold for August delivery GCcv1 fell 0.9 percent to
$1,083.90 an ounce after hitting a trough of $1,072.30, its
cheapest since October 2009.
As the selling pressure intensifies, traders from Hong Kong
to New York are pointing the finger at others for being behind
Monday's rout, while struggling to unmask the mystery sellers.
ID:nL1N10209Z
Most analysts are looking for the Federal Reserve to raise
rates by September, suggesting more risk for
non-interest-bearing gold. Thursday's data showing U.S. weekly
jobless claims dropping to its lowest since November 1973, puts
the Fed on course for its first interest rate increase in nearly
a decade. ID:nL1N10317J
As gold prices slump, holdings of SPDR Gold Trust GLD , the
world's biggest gold-backed exchange-traded fund, fell for a
sixth day on Thursday to 22.01 million ounces, the lowest since
August 2008. GOL/ETF
And physical demand in Asia remained lacklustre amid modest
premiums in top gold consumers India and China. China's factory
sector shrank by the most in 15 months in July. ID:nL3N1032YR
ID:nL3N10135T
Macquarie said it had cut its gold price forecasts by 7-15
percent from this year through 2019, citing shaken investor
confidence in bullion. The investment bank cut its 2015 estimate
to $1,152 from $1,249.
"Gold has always had a dual nature as a currency and a
commodity. At present it is not desired in either form,"
Macquarie analysts wrote.
"Eventually, though, shorts will have to cover, and we stick
to our view that some confidence should return to the market
post a Fed hike, though gains are likely to be slower and more
moderate than we had previously predicted."
Spot palladium XPT= rose 0.6 percent to $618.95 an ounce
and platinum XPT= gained 0.1 percent to $977, still trading
near multi-year lows.