November 24: Gold gains for eighth session as ETF holdings rise

Source: Marketwatch

New York -- Gold futures closed higher for the eighth session in a row Tuesday, as an increase in gold holdings backing the largest exchange-traded fund suggested continued investment demand ahead. Holdings in SPDR Gold Shares, the biggest gold exchange-traded fund, stood at 1,121.46 metric tons, up nearly 4 metric tons from 1,117.49 on Friday. Gold for December delivery finished up $1.10 at $1,165.80 an ounce on the Comex division of the New York Mercantile Exchange, marking its eighth consecutive session of gains. On Monday, the contract reached an all-time intraday high of $1,174 an ounce.

Economic worries in the U.S. and China, however, kept other metals such as copper under pressure. "While gold is overbought in the short term it is behaving like a stubborn mule that refuses to go down," said Daniel Stoke, an analyst at GoldCore, in a note. "A variety of concerns continue to support gold and these include worries regarding the sustainability of the economic recovery, both in China, the U.S. and in other leading industrial nations, [and] the weakening dollar." See full story.