Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures settled at their highest level in more than seven weeks Wednesday on concerns about developments in Libya and the surrounding region. Gold for February delivery, the most active contract, advanced $12.90, or 0.9%, to $1,414 an ounce on the Comex division of the New York Mercantile Exchange. That was gold�s best settlement since Jan. 3. �You tell me when things are going to stabilize in the Middle East and I will tell you when risk aversion is off,� said Bart Melek, head of commodities strategy at TD Securities in Toronto. �People are buying gold as a way to hedge against geopolitical risk.�

Heightened protests this week in Libya spurred investors toward assets perceived as carrying less risk. The same concerns were denting metals commonly tied to industrial uses, such as copper. Silver tracked gold, with the March contract settling at a new 31-year high. Silver added 44 cents, or 1.3%, to $33.30 an ounce. See full story.