Investing.com – Gold futures retreated in Asian trade Thursday, as a rebound in global equity markets cooled investor appetite for safe-haven investments after the precious metal’s record high rise in the previous session.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery traded at USD1,816.65 a troy ounce during early Asian trade, down 0.08%, after hitting a daily high of USDS1,819.05.
Following Switzerland’s central bank decision to limit falls in the Swiss franc, gold rallied to a record high of USD1,921.05, prompting some profit taking from investors.
But attraction to riskier assets was boosted by a ruling by Germany’s Federal Constitutional Court that upheld German participation in last year’s Greek bailout and the formation of the European Financial Stability Facility.
Plaintiffs in the case had sought to block the country’s role in euro-zone bailouts.
European and U.S. markets welcomed the news as a positive step in the EU’s efforts to address debt problems in the region, with France’s CAC 40 rising 3.6%, Britain’s FTSE 100 climbing 3.1%, and Germany’s DAX rising sharply by 4%.
On Wall Street, the Dow Jones Industrial Average rose 2.5%, the Nasdaq Composite Index added 3%, and the S&P 500 advanced 2.8%.
Later Thursday, U.S. President Barack Obama was scheduled to deliver a speech before a joint session of Congress where he was expected to outlay nearly USD300 in additional stimulus for the U.S. economy
Elsewhere on the Comex, silver for December delivery dropped 0.23% to trade at USD41.57 a troy ounce, while copper for December delivery eased 0.02% to trade at USD4.137 a pound.