Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures settled slightly higher Thursday, extending gains for a third-session, as upbeat U.S. economic data and comments from the European Central Bank president about Europe�s debt crisis eased investors� concern, limiting growth for the precious metal. Gold for August delivery added $1.40 to $1,530.60 an ounce on the Comex division of the New York Mercantile Exchange. The contract tallied a gain of nearly $47 an ounce over the previous two trading sessions. �Gold is consolidative, but generally well bid within its range,� said Peter Grant, senior metals analyst at USAGold-Centennial Precious Metals Inc. �The continually unfolding European sovereign-debt crisis, today�s ECB suspension of Portugal�s rating requirement, is likely to limit the upside in the euro and keep a bid under gold as an appealing hedge.�

The ECB will suspend the application of the minimum credit-rating threshold for debt instruments by the Portuguese government, the central bank�s president, Jean-Claude Trichet, said. Trichet also said the ECB remains opposed to a selective default for Greece. �Gold is mostly unchanged on a combination of factors,� said Adam Klopfenstein, senior market strategist at Lind-Waldock in Chicago. �I think gold will give us a rally tomorrow, but there is congestion ahead of the [unemployment] report tomorrow.� See full story.