Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures rose Monday, as jitters about the strength of the global recovery supported buying in the traditional safe-haven asset. Gold for August delivery, the most active contract, gained $4.80, or 0.3%, to $1,547.20 an ounce on the Comex division of the New York Mercantile Exchange. Silver and palladium also rallied. Silver was at least partly supported by fears that Peru�s likely president would promote a bigger government role in the country�s economy. The South American country is a top exporter of metals, including gold, silver, copper and other base metals.

�Weak U.S. economic data last week are strengthening expectations that the Federal Reserve will maintain key interest rates at the current very low level for even longer, which will keep the opportunity costs for precious metals low,� analysts at Commerzbank said in a note to clients Monday. Gold closed out last week higher. A weaker-than-expected U.S. jobs report on Friday encouraged buying in the metal on worries about an extended economic slowdown. Silver for July delivery tracked gold higher in Monday�s metals trading, gaining 59 cents, or 1.6%, to $36.78 an ounce. See full story.