Daily Gold Update

Source: MarketWatch

New York— Gold futures rose Tuesday to end at their highest level in seven months, near $970 an ounce, as investors seeking a safe haven against economic troubles bought into the metal. Heightened risk aversion also pushed up the U.S. dollar and Treasury prices, while oil futures and global stock markets skid. Safe-haven buying raised holdings in the largest gold exchange-traded fund to a new record high near 1,000 tons, according to the latest data. Gold for February delivery rose $25.50, or 2.7%, to end at $967 an ounce on the Comex division of the New York Mercantile Exchange, the loftiest closing level for a front-month contract since July. It rose to as high as $973.80 an ounce earlier in the session.

Monday's gain followed on gold's 3% increase last week. The metal is now just about $36 below its record high above $1,003 an ounce set in March 2008. Trading more actively, the April gold contract ended at $967.50 an ounce, up 2.7%. "I think $1,000 is pretty much almost in the cards here just given how strong the trend has been," said Brian Hicks, co-manager of the U.S. Global Investors Global Resources Fund. See full story.