Daily Gold Update

Source: Marketwatch

New York— Gold futures closed higher Tuesday, helped by a weaker dollar and expectations of growing interest from physical buyers, though gains were outshone by a 2.4% jump in palladium on signs of stronger auto demand. Gold for December delivery ended the New York floor session up $2.1, or 0.2%, to $1,228.3 an ounce on the Comex division of the New York Mercantile Exchange, the highest settlement for a most-active contract since late June.

"Everything about this market is looking up," said Scott Meyers, a senior trading analyst with Pioneer Futures, a division of MF Global, in New York. From hitting bottom in late July, when gold settled at $1,158 an ounce, "it has been a steady climb … you got to love gold," he said. Gold had lost some of its way after the Federal Reserve said Tuesday the output of the nation's factories, mines and utilities rose 1% in July, led by a surge in auto production. Economists surveyed by MarketWatch had expected a 0.6% increase. That report, however, buoyed the metals used auto manufacturing. The Fed said auto production jumped 9.9% in July. See full story.