Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures settled at a record on Wednesday as investors remained nervous about the euro zone�s sovereign-debt crisis and weak prospects for global growth. Gold for December delivery gained $8.80, or 0.5%, to end at $1,793.80 an ounce on the Comex division of the New York Mercantile Exchange. It had earlier traded as high as $1,797.60 an ounce. Before Wednesday�s high mark, gold�s most recent settlement had come Tuesday, when the metal ended at a $1,785 per ounce, rising $27 for the session. Stocks traded higher Wednesday and commodities such as oil also rose. Support came from the ongoing concerns about the global economy.

Also on Wednesday, Venezuela�s President Hugo Chavez said he is readying a decree to nationalize the country�s gold industry. Venezuela has as much as $12 billion in gold reserves, Chavez said. But the bulk of the concerns helping gold move toward a $1,800 settlement remained centered in Europe. The outcome of Tuesday�s meeting between the leaders of Germany and France �was disappointing,� analysts at Commerzbank said in a note to clients. �Even with the intention of creating a joint economic government for the euro zone, it will be difficult to translate the differing views of member states into convincing compromises. Uncertainty thus remains as to how the debt crisis will develop and this should keep the demand for gold as a safe haven high,� they said. See full story.