At 12:30 p.m., gold for February delivery was up $5.30 to $1,365.80 per troy ounce. March-delivery silver futures rose $5.30 to $28.850 per troy ounce. April-delivery platinum deliveries climbed $6.80 to $1,823.25 per troy ounce. march-delivery palladium futures moved up $16.95 to $807.45 per troy ounce.
"Around this level, we still see quite good physical demand," Bruce Ikemizu, head of commodity trading at Standard Bank in Tokyo, told Bloomberg. "I'm rather pessimistic. The problems won't be resolved overnight. This European financial problem will be a long-term bullish factor for gold and precious metals."
Gold is en route to its first monthly decrease since July 2010 as investors closely monitor the ongoing banking and public finance disorder permeating European nations' financial institutions.
Gold prices are "starting to look attractive to Asian buyers," according to a report by VTB Capital analyst Andrey Kryuchenkov. The London-based analyst noted last week's success of euro zone debt auctions, but said "economic uncertainty in the monetary union remains."
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