But the aftermath of Standard & Poor's downgrading of the credit rating of Spain is likely to temper the yellowish metal's advance. The common currency of the European Union, which often performs on a parallel track with the bullion, was solidifying amid optimism that Spain will move forward and request international bailout aid.
"We have been seeing a bit of demand coming out of the woodwork. It's nothing huge, but it was better than it has been previously and, since Monday, flows of gold scrap have been very, very low," trading head Afshin Nabavi with MKS Finance told the news source. "Overall, it feels as though we may have found a base for gold at the moment and now we have to try the higher end of the range at $1,775/80."
At 11:08 a.m. on Thursday, gold futures increased 0.44 percent, a $7.70 lift to $1,772.80 per troy ounce.
But The Wall Street Journal reports unemployment benefit applications in the U.S., host of the globe's largest economy, decreased, which also is likely to temper gold's gains.
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