Investing.com - Gold prices pulled back from two-year highs but remained supported on Friday, as the U.K.’s surprise decision to leave the European Union in a landmark referendum continued to boost safe-haven demand.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery surged 5.10% to $1,327.50.
The August contract ended Thursday’s session 0.54% lower at $1,263.10 an ounce.
Futures were likely to find support at $1,199.00, Thursday’s low and resistance at $1,391.40.
The precious metal rallied to 27-month highs earlier, after the U.K. voted by a substantial margin to leave the EU in a landmark referendum, with the Leave side winning 52% of the vote, against 48% to remain.
Gold prices had weakened earlier in the week as markets broadly expected Britain to vote against a Brexit, fuelling demand for riskier assets.
The Bank of England said Friday it would take all necessary steps to secure monetary and financial stability after the shock Brexit result.
"The Bank of England is monitoring developments closely," it said in a statement.
"It has undertaken extensive contingency planning and is working closely with HM Treasury, other domestic authorities and overseas central banks."
The news pushed the pound down to its lowest level since 1985 against the U.S. dollar overnight.
Elsewhere in metals trading, silver futures for July delivery jumped 2.46% to $17.775 a troy ounce, while copper futures for July delivery plummeted 3.31% to $2.091 a pound.