Investing.com - Gold futures rose to the highest level in a week during U.S. morning hours on Wednesday, as sentiment firmed up after U.S. equity markets reopened after remaining closed for two consecutive days in the wake of Hurricane Sandy.
Gold traders waited for key Chinese manufacturing and U.S. employment data later in the week to gauge the health of the global economy.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,718.95 a troy ounce during U.S. morning trade, up 0.4% on the day.
Gold futures rose by as much as 1% earlier in the day to hit a session high of USD1,722.35 a troy ounce, which was the strongest level since October 23.
Gold prices were likely to find support at USD1,688.85 a troy ounce, the low from September 7 and resistance at USD1,730.35, the high from October 23.
Gold’s gains came as the euro found support after Spanish Prime Minister Mariano Rajoy said earlier that his country needs the help of the European Union to meet its budget goals, and added that EU progress on a banking union would allow leeway on making a formal request for aid.
The debt-strapped country has been reluctant to ask for financial assistance from its euro zone partners because of concerns it may come with conditions on its budget.
The dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was down 0.1% to trade at 79.93.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Gold traders were looking ahead to a series of important political and economic events set to unfold in early November.
On Thursday, China will release a report on manufacturing data for October, followed by closely-watched U.S. non-farm payrolls data on Friday.
Political developments were likely to take center stage next week, with the U.S. presidential election on November 6 and the start of the Chinese Communist Party Congress on November 8, where a once-in-a-decade leadership change was to take place.
Elsewhere on the Comex, silver for December delivery rallied 1.2% to trade at USD32.19 a troy ounce, while copper for December delivery rose 0.5% to trade at USD3.524 a pound.
Gold traders waited for key Chinese manufacturing and U.S. employment data later in the week to gauge the health of the global economy.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,718.95 a troy ounce during U.S. morning trade, up 0.4% on the day.
Gold futures rose by as much as 1% earlier in the day to hit a session high of USD1,722.35 a troy ounce, which was the strongest level since October 23.
Gold prices were likely to find support at USD1,688.85 a troy ounce, the low from September 7 and resistance at USD1,730.35, the high from October 23.
Gold’s gains came as the euro found support after Spanish Prime Minister Mariano Rajoy said earlier that his country needs the help of the European Union to meet its budget goals, and added that EU progress on a banking union would allow leeway on making a formal request for aid.
The debt-strapped country has been reluctant to ask for financial assistance from its euro zone partners because of concerns it may come with conditions on its budget.
The dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was down 0.1% to trade at 79.93.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Gold traders were looking ahead to a series of important political and economic events set to unfold in early November.
On Thursday, China will release a report on manufacturing data for October, followed by closely-watched U.S. non-farm payrolls data on Friday.
Political developments were likely to take center stage next week, with the U.S. presidential election on November 6 and the start of the Chinese Communist Party Congress on November 8, where a once-in-a-decade leadership change was to take place.
Elsewhere on the Comex, silver for December delivery rallied 1.2% to trade at USD32.19 a troy ounce, while copper for December delivery rose 0.5% to trade at USD3.524 a pound.