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(Reuters) - The euro steadied against the dollar on Tuesday as its rebound from a recent four-month low stalled, although traders said selling was likely to be limited in the run-up to an informal meeting of European leaders this week. Many in the market were skeptical policymakers could agree measures to help tackle the euro zone debt crisis and soothe concerns about Greek political turmoil and weakness in the Spanish banking system. But with speculators' short euro positions at a record high, traders were wary of the potential for a squeeze higher on any signs of progress at Wednesday's meeting. The euro dipped 0.1 percent against the dollar to $1.2802, but holding above last week's four-month low of $1.2642. "I doubt any news out of the meeting tomorrow will be able to ...

(Reuters) - Gold steadied in Europe on Monday as a retreat in the euro arrested the metal's rebound from its 2012 lows, but prices remained supported near $1,600 an ounce as investors bet the metal's price correction had been overdone. a Spot gold was at $1,591.50 an ounce at 0932 GMT against $1,592.00 late on Friday. U.S. gold futures for June delivery were down $1.30 an ounce at $1,590.60. Last week, gold fell to its lowest this year at $1,527 an ounce, before staging its biggest two-day rally since October as traders holding short positions rushed to cover. "I suspect that what we saw last week was partly short covering, and that has helped us on the way up, with maybe a little bit of extra safe-haven interest," Mitsui Precious Metals analyst David Jollie said. "In the next few weeks ...

(Reuters) - Gold steadied in Europe on Thursday after falling to a four-month low in the previous session, as an uptick in the euro after Spain moved to clean up its banks and Europe's bailout fund approved a key payment to Greece took some pressure off prices. While the euro zone debt crisis is continuing to simmer, moves to address some of its problems are improving appetite for assets seen as higher risk, like stocks and commodities, as well as the single currency. Spot gold was at $1,589.40 an ounce at 05.26 a.m. EDT against $1,590.45 late on Wednesday, when it fell as low as $1,579.30 an ounce, its weakest since early January. Prices have fallen 3 percent this week as concerns over the euro zone debt crisis pressured the euro and other risk assets. While investors bought gold as a ...

Gold steadied on Wednesday, after rising for four days straight, as the intensifying euro zone debt crisis threatened to undermine the euro and offset any potential safe-haven demand for the metal. The euro rose on Wednesday but has come under pressure in the past week as the debt crisis has reignited. The focus is now on Spain, where the head of the central bank said on Tuesday commercial banks would need more capital if the economy continues to deteriorate. Benchmark 10-year Spanish yields touched 6 percent for the first time since early December on Wednesday, having risen by more than two-thirds of a percentage point in the past week alone, while peripheral banking stocks have been pummeled. Spot gold was last down 0.1 percent on the day at $1,658.16 an ounce by 1224 GMT, while U.S. ...

The dollar climbed against the euro on Tuesday, snapping two straight sessions of losses as U.S. data tempered concerns of more stimulus from the Federal Reserve. The greenback's rally came a day after comments from U.S. Federal Reserve Chairman Ben Bernanke raised expectations that the Fed could yet embark on a third round of quantitative easing to stimulate the economy further. On Monday, Bernanke said "further significant improvements in the unemployment rate will likely require a more rapid expansion of production and demand from consumers and businesses, a process that can be supported by continued accommodative policies." He made those comments to the National Association for Business Economics. Bernanke said on Tuesday that the Federal Reserve does not take any options off the ...

Gold prices steadied on Tuesday as a fall in the euro pulled it from two-week highs earlier in the day on the back of comments from the Federal Reserve, which stoked expectations interest rates will remain at rock-bottom levels. The metal held above the 100- and 200-day moving averages it broke through on Monday after the Federal Reserve signaled it would keep interest rates low, reassuring buyers the opportunity cost of holding bullion would stay depressed. Spot gold was at $1,690.66 an ounce at 1439 GMT against $1,691.74 late on Monday, after earlier hitting a two-week peak at $1,696.20. Fed Chairman Ben Bernanke said on Monday the U.S. economy needed to grow more quickly to cut the unemployment rate. While he did not directly indicate the Fed was set to begin another round of bond ...

The dollar firmed slightly against the euro on Tuesday after a drop in the previous session on dovish comments from Federal Reserve Chairman Ben Bernanke, but those gains were vulnerable to consumer confidence data due later in the day. The greenback's advance came amid choppy, range-bound trading as investors parsed Bernanke's caution on Monday that the economy needs to grow more quickly to bring the unemployment rate down lower. Bernanke's comments fanned hopes the Fed could ease policy further, perhaps through another round of quantitative easing. Until markets have more clarity on the Fed's plans, though, trading could stay constrained, said Dean Popplewell, chief currency strategist at OANDA. "Until the words 'QE' are actually uttered by the Fed, you play the ranges, and we're ...

The dollar hit its lowest level in four weeks against a basket of major currencies on Tuesday, extending falls from the previous day after Federal Reserve Chairman Ben Bernanke kept the door open for more monetary easing in the United States. Analysts said the dollar may suffer further short-term falls if speculation over a third bout of quantitative easing persisted, but any data pointing to a pick-up in U.S. economic activity could see the currency claw back losses. The dollar index .DXY fell around 0.2 percent to 78.770, its weakest since March 2, after Bernanke said on Monday a policy of very low interest rates was needed to reduce unemployment, making clear he was in no rush to change course and tighten policy sooner than pledged. "The economy is doing a lot better than many people ...

The dollar fell to its lowest in four weeks against a basket of major currencies on Tuesday, extending falls after Federal Reserve Chairman Ben Bernanke kept the door open for more monetary easing. Analysts said the dollar could suffer further in the short term if speculation about the prospect of a third bout of quantitative easing persists. However, if U.S. data continues to point to an economic recovery the currency could start to push higher again. The euro also hit its highest in a month versus a weaker dollar as the cost of insuring against default in Spain or Italy fell on expectations that a reinforced rescue fund, big enough to protect these countries, could emerge from a euro finance ministers' meeting at the end of the week. But the relentless weight of worry about euro zone ...