Daily Gold Update

Source: Marketwatch

New York— Gold futures rose nearly 2% on Tuesday, receiving a lift from the dollar, which weakened against the euro as Standard & Poor's affirmed Greece's sovereign rating and ahead of the Federal Reserve's decision on interest rates. A lower dollar tends to lift gold as it makes the precious metal more attractive as a hedge. Gold for April delivery gained $19.60, or 1.8%, to $1,125 an ounce in electronic trading on Globex.

The SPDR Gold Trust, the largest exchange-traded fund backed by gold, rose 1.8%. Lifting the euro and pressuring the dollar, S&P said Greece's austerity measures warranted an affirmation of the nation's BBB+ long-term credit rating and its removal from CreditWatch. The dollar index, which measures the U.S. unit against a basket of six major currencies, fell 0.4%. See full story.