In other commodity markets, the US government action on food and farm aid boosted grain and meat prices. Coffee prices rose on news of a widespread trucking strike in Colombia, the second largest exporter. Oil prices ended quietly mixed. At the COMEX in New York, gold for April delivery closed $3.70 lower at $283.90 an ounce after touching $282, the lowest price since August 31.

The notion of selling gold from IMF reserves, which total approximately 3,217 metric tonne, has been floated for a couple of years but began gathering steam on Monday when French President Jacques Chirac said such a move should be considered. Clinton, speaking at a US-Africa ministerial meeting, said he wanted creditor nations to forgive up to $70 billion in debt. He said the US should support "goldsales by the IMF to do its part, and additional contributions by US and other countries to the World Bank's trust fund to help meet the cost of this initiative."

"With Clinton's endorsement of IMF gold sales, it raises issues of how practical it is to achieve such sales," said Dinsa Mehta, managing director of Chase Manhattan. "This isn't something that occurs overnight.

"But it does mean that France, Germany, the UK, and the US are behind it. The whole process has taken on a greater legitimacy. And one would have to expect speculators to test the lows on such news," Mehta said. Silver was also under pressure, with COMEX May silver closing down 5.5 cents at $5.043 an ounce. Grain markets at the Chicago Board of Trade saw some wind put in their sails from fresh talk of more government food aid and acreage "set-asides" aimed at cutting into the mountain of meat and grains that have depressed farm prices.

On Monday, the government bought 711,400 tonnes of wheat to ship overseas and also said it was closeto signing a deal to ship meat to Russia.

Officials said a proposal to sell wheat to Iran was progressing through State Department channels, and soybean donation shipments were being considered. In addition, Senator Pat Roberts of Kansas said he would propose legislation next week to pay farmers to idle up to 45 million acres (18 million hectares) for conservation purposes, reducing plantings.

"If it does happen, you could see bean acreage drop potentially," said Brian Scott, vice president for CBOT operations at brokerage RJ O'Brien.

Buoyed by such news, and by dry weather in Brazil as its big soybean crop matures, May soybeans closed 11-3/4 cents a bushl higher at $4.82-3/4, a three-week high. May corn rose 3-3/4 cents to $2.23-3/4, and May wheat climbed 4-1/4 cents to $2.76-1/2.

Food aid prospects also helped pork bellies, the raw material for bacon. At the Chicago Mercantile Exchange, May pork bellies rose 1.80 cents a pound to 51.125 cents. Cattle prices also rose, buoyed by strong values forbeef cuts. June live cattle closed 0.425 cent higher at 64.450 cents.

At the New York Board of Trade, coffee prices rose on reports that a truckers' strike in Colombia was delaying coffee exports. May coffee futures rose 1.90 cents a pound to 105.20 cents.

At the New York Mercantile Exchange, oil prices closed quietly mixed as the market awaited weekly oil industry stocks and usage statistics. April crude oil rose 1 cent to $14.46 a barrel while April gasoline was 0.34 cent lower at 44.67 cents and April heating oil down 0.31 cent at 37.77 cents a gallon.