Investing.com - Gold futures gained ground during European early afternoon trading hours on Friday, as mounting concerns over the handling of U.S. budget troubles coupled with uncertainty over the future of the Federal Reserve's stimulus program supported safe haven demand. On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,334.70 a troy ounce during European afternoon hours, up 1.19%. The December contract ended 0.91% lower on Thursday to settle at USD1,324.10 a troy ounce. Gold futures were likely to find support at USD1,306.20 a troy ounce, the low from September 24 and resistance at USD1,366.50, the high from September 20. Gold prices found support as U.S. budget concerns persisted after Republican leaders in the U.S. House of Representatives refused on Thursday to give in to President Barack Obama's demand for straightforward bills to run the government beyond September 30 and to increase borrowing authority to avoid a default. Congress must reach an agreement on the budged debate before October 1 to prevent a government shutdown that could involve federal employees facing unpaid temporary leave and a delay in the payment of military personnel. Separately, investors remained cautious amid ongoing uncertainty over whether the Fed will soon begin taperints bond-buying program. Three top Fed officials said on Thursday the central bank had confused markets over its policy outlook. Moves in the gold price this year have largely tracked shifting expectations as to whether the U.S. central bank would end its quantitative easing program sooner-than-expected. Elsewhere on the Comex, silver for December delivery climbed 0.97% to trade at USD21.973 a troy ounce, while copper for December delivery gained 0.51% to trade at USD3.324 a pound.

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