“Gold looks set to recoup much of prior-day loss”

By: Priscilla - May 08th 2013

May 8, 2013, 10:47 a.m. EDT

By Myra P. Saefong and Barbara Kollmeyer, MarketWatch

SAN FRANCISCO (MarketWatch) — Gold futures headed higher Wednesday, ready to recoup much of the prior day’s loss with the metal finding support from weakness in the U.S. dollar and strong demand in Asia.

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Gold for June delivery GCM3 +1.13% jumped $18.80, or 1.3%, to $1,467.60 on the Comex division of the New York Mercantile Exchange.

On Tuesday, prices for the precious metal on Comex fell $19.20, or 1.3%, as data suggested commodity exchange-traded funds in April logged a record month of withdrawals.

“Gold looks resolutely range-bound at the moment,” said Ben Traynor, chief economist at BullionVault.

In the West, “investor sentiment towards gold seems lukewarm at best among professional money managers right now,” he said. However, “demand in Asia is holding up.”

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