SINGAPORE (Commodity Online) : Gold prices advanced towards a two-month high in Asian trade Wednesday, tracking worries over European banks that escalated fears about the health of the global economy.
Gold for immediate delivery was seen trading at $1257.02 an ounce at 12.00 noon Singapore time while US gold futures for December delivery were at $1258.4 an ounce.
Analysts however said the precious yellow metal remained pressurized by a strong dollar.
Meanwhile, Holdings in the world's largest gold-backed exchange-traded fund, SPDR Gold Trust, were unchanged at 1,294.442 metric tons, suggesting that investors held on to bullion because of the economic uncertainty.
Will edible oil prices continue to weaken? For latest trends and insightful analysis on India’s oilseeds market, subscribe to Commodity Online Info Service
Silver, which normally tracks gold, was steady after rallying to its highest since March 2008 at $20 an ounce on Tuesday. Platinum and palladium weakened due to declines in equities.
On Tuesday, Gold prices settled at a record high following renewed worries about European banks and the global economy.
Gold for December delivery added $8.20 to settle at $1,259.30 an ounce after reaching $1,261.60 earlier in the day.
Its record high settlement price was $1,258.30 an ounce, although it has reached an intraday high of $1,266.50 an ounce. Both occurred in late June
