Investing.com – Gold futures extended gains in Asian trade Tuesday, reaching record highs as dealers continue to covet the precious metal as a safe-haven investment in light of continued volatility in global equity markets.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery traded at USD1,906.45 a troy ounce during early Asian trade, rising 0.65%, after hitting the day’s low of USD1,894.25.
Gold topped USD1,900 for the first time earlier in Monday U.S. trade, and has set record highs in five of the last six trading days.
U.S. shares posted modest gains on the day, ending a two-day losing streak but investors remain unconvinced of long-term strength in equities as U.S. economic indicators remain weak, and European leaders continue to grapple with the details of a rescue fund for debt-threatened euro-zone nations.
By the end of the U.S. trading session, the Dow Jones Industrial Average closed up 0.34%, to close at 10,854.70, the Nasdaq Composite Index gained 0.15% to 2,345.38, and the S&P 500 eked out a 0.03% rise to 1,123.82.
Earlier Monday, the Federal Reserve Bank of Chicago reported that its national activity index had risen to minus 0.06 in July from minus 0.38 the previous month. Forecasts were for the Chicago Fed’s index to ease to minus 0.48 in July.
Meanwhile, market eyes were focused on a scheduled meeting by the U.S. Federal Reserve later this week in Jackson Hole, Wyoming. Pressure has been mounting on Fed Chairman Ben Bernanke to assure a shaken market that the central bank is prepared to move on further quantitative easing.
Elsewhere on the Comex, silver for September delivery fell 0.65% to trade at USD43.28 a troy ounce, while copper for September delivery added 0.4% to trade at USD3.960 a pound.