SINGAPORE, May 3 (Reuters) - Gold nursed small overnight
losses on Tuesday, but the metal wasn't too far from a 15-month
high on dollar weakness and as assets of the biggest bullion
fund rose to their highest in over two years.
FUNDAMENTALS
* Spot gold XAU= was little changed at $1,291.45 an ounce
by 0050 GMT. The metal rose to its highest since January 2015 of
$1,303.60 but ended the day lower by 0.2 percent.
* Gold has risen sharply in recent days after the dollar
slumped on the Federal Reserve's cautious stance towards higher
U.S. rates and as the yen soared after the Bank of Japan stood
pat on policy last week.
* Worries over Japanese policymakers' inability to stem the
yen's rise had pushed the dollar to an 18-month low early on
Monday, supporting gold's rise above $1,300.
* But the dollar later edged up against the yen on Monday,
although it declined against other major currencies. USD/
* Data on Monday showed U.S. factory activity expanded at a
more moderate pace in April. But a rise in export orders to a
near 1-1/2-year high and signs that an inventory overhang drag
was fading offered hope for the manufacturing
sector.
* Investors are closely watching U.S. data to gauge the
strength of the economy and its impact on the Fed's monetary
policy.
* Also supporting gold was the sharp increase in money
flowing into SPDR Gold Trust GLD , the world's top gold-backed
exchange-traded fund.
* Assets of the rose 2.59 percent to 824.94 tonnes on Monday
in its biggest increase since Feb 22. Holdings are at their
highest since December 2013.
* Among other precious metals, silver XAG= was also near a
15-month high of $18.006 reached on Monday. It edged up 0.3
percent to $17.577 early on Tuesday.
* Platinum XPT= was firm at $1,076 an ounce after climbing
to a 10-month high of $1,085.40 on Monday. Palladium XPD=
steadied at $617.47.
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TOP/MTL or GOL
MARKET NEWS
* A weakening U.S. dollar and optimism that commodity prices
will steady boosted global stock markets on Monday, pushing down
U.S. Treasury prices. MKTS/GLOB
PRICES AT 0050 GMT
Metal Last Change Pct chg
Spot gold 1291.45 0.24 0.02
Spot silver 17.577 0.046 0.26
Spot platinum 1076 0.5 0.05
Spot palladium 617.47 -0.53 -0.09
Comex gold 1293.7 -2.1 -0.16
Comex silver 17.62 -0.062 -0.35
COMEX gold and silver contracts show the most
active months