Gold little changed in China absence and stronger dollar

Shanhgai (Feb 3)  Gold was little changed in early Asian trading on Monday, after posting its first loss in six weeks, as the strength in the U.S. dollar and the absence of key buyer China weighed on prices.

Spot gold was steady at $1,242.86 an ounce by 0016 GMT. Bullion fell 2 percent last week - its first loss since the week ended Dec. 20.

The dollar index recorded its best monthly gain in 8 months in January.

Chinese markets are closed till Friday for the Lunar New Year holiday. Hong Kong is shut on Monday.

Hedge funds and money managers raised their net long positions in gold futures and options for a fifth consecutive week, and slashed their long positions in silver in the week to Jan. 28, data from the Commodity Futures Trading Commission showed on Friday.

Sales of the U.S. Mint's American Eagle gold coins fell 40 percent year-on-year in January, typically the busiest month of the year, as uncertainty over bullion prices continued to dampen interest from collectors.

South African government mediators have put forward a proposal designed to end a strike that has hit around 40 percent of global platinum supply.