Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures closed higher Wednesday, with uncertainty surrounding the ability of European Union leaders to come up with a plan to resolve the region�s debt crisis helping the metal tally a week-to-date gain of more than 5%. A lack of action so far in the euro-zone debt summit stoked �renewed concerns over the global economic situation,� contributing to gold�s climb, according to Darin Newsom, senior analyst at Telvent DTN. End-of-the-month short covering also was a supportive factor for the metal, he said. �Gold could see its rally last at least through the end of the week,� Newsom added.

Gold for December delivery was up $23.10, or 1.4%, to settle at $1,723.50 an ounce on the Comex division of the New York Mercantile Exchange. That marked the highest close for a front-month contract since Sept. 22. Prices, which touched a high of $1,728 earlier, have tallied a climb of 5.3% so far this week. The precious metal has staged a major breakout above $1,700 an ounce, which �has been emerging as a new support level,� with the next resistance level in the $1,750 to $1,760 range, said Colin Cieszynski, market analyst at CMC Markets Canada. See full story.