Investing.com – Gold futures edged higher in thin holiday trade on Monday, as mounting concerns over the U.S. economic outlook and fears that the euro zone’s debt crisis is worsening boosted safe haven demand.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery traded at USD1,885.45 a troy ounce during late Asian trade, gaining 0.59%.
It earlier rose as much as 0.8% to trade at USD1,890.45 a troy ounce, the highest price since August 23, when prices rose to a record high of USD1,917.90 a troy ounce.
Trade was expected to be slim as the COMEX floor trading was to remain closed for the U.S. Labor Day holiday. Electronic trades were to be booked with Tuesday’s transactions for settlement purposes.
Concerns that the global economic recovery is losing momentum were underlined on Friday, after the Department of Labor said U.S. non-farm payrolls were unchanged last month, the weakest reading since September 2010. Economists had expected non-farm payrolls to rise by 74,000 in August.
July’s figure was revised down to an increase of 85,000 from a previously reported 117,000. The unemployment rate remained unchanged at 9.1% in August.
The dismal jobs data fuelled expectations that the Federal Reserve will embark on a third round of monetary easing.
Gold prices found further support after German Chancellor Angela Merkel's ruling party were defeated in local elections on Sunday, adding to concerns over the euro zone’s ongoing sovereign debt crisis.
The news follows Friday's suspension of talks between the Greek government and representatives of the International Monetary Fund, European Central Bank and European Commission over new bailout funds.
Investors often buy gold as a refuge against economic and political uncertainty.
Elsewhere on the Comex, silver for December delivery added 0.44% to trade at USD43.25 a troy ounce, while copper for December delivery shed 0.62% to trade USD4.089 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery traded at USD1,885.45 a troy ounce during late Asian trade, gaining 0.59%.
It earlier rose as much as 0.8% to trade at USD1,890.45 a troy ounce, the highest price since August 23, when prices rose to a record high of USD1,917.90 a troy ounce.
Trade was expected to be slim as the COMEX floor trading was to remain closed for the U.S. Labor Day holiday. Electronic trades were to be booked with Tuesday’s transactions for settlement purposes.
Concerns that the global economic recovery is losing momentum were underlined on Friday, after the Department of Labor said U.S. non-farm payrolls were unchanged last month, the weakest reading since September 2010. Economists had expected non-farm payrolls to rise by 74,000 in August.
July’s figure was revised down to an increase of 85,000 from a previously reported 117,000. The unemployment rate remained unchanged at 9.1% in August.
The dismal jobs data fuelled expectations that the Federal Reserve will embark on a third round of monetary easing.
Gold prices found further support after German Chancellor Angela Merkel's ruling party were defeated in local elections on Sunday, adding to concerns over the euro zone’s ongoing sovereign debt crisis.
The news follows Friday's suspension of talks between the Greek government and representatives of the International Monetary Fund, European Central Bank and European Commission over new bailout funds.
Investors often buy gold as a refuge against economic and political uncertainty.
Elsewhere on the Comex, silver for December delivery added 0.44% to trade at USD43.25 a troy ounce, while copper for December delivery shed 0.62% to trade USD4.089 a pound.