Investing.com - Gold futures traded near a four-week high on Tuesday, as ongoing concerns over the global economic outlook and losses in equity markets supported demand for safe haven assets.
On the Comex division of the New York Mercantile Exchange, gold for December delivery traded at $1,233.20 a troy ounce during European morning hours, up $3.30, or 0.27%.
Comex gold prices rallied to $1,238.00 on Monday, a level not seen since September 17.
Futures were likely to find support at $1,205.10, the low from October 8, and resistance at $1,243.20, the high from September 16.
Also on the Comex, silver for December delivery tacked on 14.5 cents, or 0.84%, to trade at $17.49 a troy ounce.
U.S. and European stocks plunged on Monday as concerns about global economic weakness hit investor sentiment, while growing fears over the spread of Ebola also weighed.
The S&P 500, Dow Jones and the tech-heavy Nasdaq all dropped more than 1%.
Meanwhile, gold traders continued to speculate over the timing of a rate hike in the U.S. after the minutes of the Federal Reserve’s September meeting released last week showed that some officials were concerned over the impact of the stronger dollar on global growth and the outlook for U.S. inflation.
The minutes prompted investors to trim back expectations for an earlier-than-expected hike in U.S. interest rates.
Lower interest rates can give gold a lift, as it decreases the relative cost of holding on to the metal, which doesn't offer investors any similar guaranteed payout.
Elsewhere in metals trading, copper for December delivery picked up 1.9 cents, or 0.63%, to trade at $3.060 a pound.