Daily Gold Update

Source: MarketWatch

New York— Gold futures rose for a second day Monday, closing at near $790 an ounce, as the deepening crisis on Wall Street raised demand for the safe-haven investment. Gold for December delivery rallied $22.50, or 2.9%, to end at $787 an ounce on the Comex division of the New York Mercantile Exchange. It surged $25 in overnight electronic trading to $789.50. Wall Street witnessed a tumultuous weekend as Lehman Brothers Holdings was forced into bankruptcy, Merrill Lynch & Co. sold itself to Bank of America for $50 billion and American International Group reportedly asked the Federal Reserve for a $40 billion capital boost.

"Gold's safe haven credentials are set to come into their own again as the global financial and capitalist system itself is creaking at the seams," said Mark O'Byrne, executive director at Gold and Silver Investments. "We now know the low is in place," said Ned Schmidt, editor of the Value View Gold Report. "The recovery of gold's price will continue." See full story.