Gold poised for third day of gains, platinum on a high

Spot gold was on course for a third consecutive day of gains on Wednesday, supported by dollar weakness and physical buying, while platinum hit a 30-month high, buoyed by an improved economic outlook.

The euro currency rose to a one-month high against the dollar on Tuesday, after strong data out of Germany, the euro zone's leading economy, lifted the economic outlook for the region. The dollar's index against a basket of major currencies fell to a two-month low on Wednesday, as continued short-covering in the euro led to a broad fall in the dollar. Active buying in Asia continued to buoy market sentiment, and gold is likely to trade in the range between $1,370 and $1,378 with a possibility of breaching the upside, he said. Spot gold gained 0.4 per cent to $1,373.3 an ounce by 0313 GMT, gearing for its third straight day of gains. US gold futures also rose by 0.4 per cent to $1,373. Spot platinum rose to $1,842.5 an ounce, its highest since July 2008, before easing to $1,839.99. Three-month copper on the London Metal Exchange was slightly firmer at $9,720, just $34 below its record high hit earlier in the month.