PRECIOUS-Gold inches up, eyes best quarter since Q1 2008

TOKYO, Sept 30 (Reuters) - Gold rose slightly on Wednesday
and was poised to post its best quarterly performance since the
first quarter of 2008, helped by dollar weakness and technical
momentum.

FUNDAMENTALS

* Spot gold XAU= was at $991.95 per ounce at 0017 GMT, up
0.1 percent against the notional close in New York of $990.70.

* Gold is set to rise about 7 percent in the July-September
quarter, its strongest performance since it rose 9.9 percent in
the January-March period in 2008.

* It rallied to an 18-month high of $1,023.85 an ounce
earlier this month, just a few dollars shy of the March 2008
record high of $1,030.80.

* It has since succumbed to profit-taking, with a dollar
bounce keeping bullion investors largely on the sidelines. [GOL/]

* U.S. gold futures for December delivery GCZ9 were at
$993.30 per ounce, down 0.1 percent.

* The world's largest gold-backed exchange-traded fund, the
SPDR Gold Trust (GLD), said its holdings stood at 1,094.107
tonnes as of Sept. 29, unchanged from the previous business day.
[GOL/SPDR]

MARKET NEWS

* The dollar hung onto gains against the yen on Wednesday,
staying above 8-month lows hit earlier this week, as traders
pared short positions on a view that the greenback's slide was
perhaps too fast. [USD/]

* Japan's Nikkei share average .N225 was up 0.3 percent.
[.T]

* U.S. stocks fell on Tuesday as a surprise drop in a gauge
of consumer confidence overshadowed signs of stabilisation in
housing and sold earnings from Walgreen Co (WAG.N). [.N]

* Oil prices fell slightly on Tuesday as U.S. consumer
confidence data weighed on markets and the government revised
downward U.S. demand for July. [O/R]

DATA EVENTS

* The following data is expected on Wednesday: ECON

- Japan Aug construction orders, housing starts (0500 GMT)

- IMF releases Global Financial Stability Report (0630 GMT)

- German Sept unemployment data (0800 GMT)

- Euro zone flash consumer prices (0900 GMT)

- Swiss KOF indicator for Sept (0930 GMT)

- U.S. ADP employment report for Sept (1215 GMT)

- U.S. second-quarter GDP final (1230 GMT)

- U.S. second-quarter corporate profits revised (1230 GMT)

- New York NAPM for Sept (1300 GMT)

- U.S. Chicago PMI for Sept (1345 GMT)

- Japan Aug retail sales (2350 GMT)

- Japan tankan survey for July-Sept (2350 GMT)

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PRICES

Precious metals prices at 0013
Metal Last Change Pct chg Day ago pct MA 30 RSI
Spot gold $991.55 $0.85 +0.09% +10.54% $860.10 44
Spot silver $16.12 $0.01 +0.06% +34.56% $11.29 42
Spot plat $1266.50 -$0.50 -0.04% -0.55% $1285.77 36
TOCOM gold 2,891 10 +0.35% +1.44% 2,923 41
TOCOM plat 3,696 -5 -0.14% +0.93% 3,782 37
Currencies
Euro/dlr $1.459 $0.000 +0.03% -0.21%
Dlr/yen 90.33 0.26 +0.29% +0.81%
TOCOM prices in yen per gram, except TOCOM silver which is priced
in yen per 10 grams. Spot prices in $ per ounce.
(Reporting by Risa Maeda; Editing by Edwina Gibbs)