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Gold advances in early Asian trade
2011-09-30 01:21:26 GMT (Forexpros)
Forexpros Gold futures traded higher in Asian trade Friday, as Germany voted to expand the European rescue fund but U.S. labor data showing signs of improvement kept precious metals in a tight trading range.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery traded at USD1,619.35 a troy ounce during early Asian trade, adding 0.10%, after hitting a low of USDS1,615.05.
On Thursday, German lawmakers voted to approve an expansion of the European Financial Stability Facility, with only 85 of 523 legislators opposing the vote.
The number of opposing votes from within Chancellor Angelas Merkels center-right coalition, was viewed as a barometer of her strength in negotiating new details of the plan to address Europes debt crisis.
Later in the day, the U.S. Department of Labor released data for the past week, showing that the number of Americans filing for unemployment assistance fell more than expected, to a seasonally adjusted 391,000 from 428,000 the prior week.
Market expectation were for the weekly figure to drop to 420,000.
Wall Street retreated from early session gains to close mixed on Thursday; The Dow Jones Industrial Average rose 1.30% to 11,154.00, the Nasdaq Composite Index fell 0.43% to 2,480.76, while the S&P 500 added 0.81% to 1,160.40.
A falling dollar helped to support gold futures as a weaker greenback makes commodity purchases less expensive for holders of other currencies.
Silver for December delivery fell 0.28% to trade at USD30.55 a troy ounce, while copper for December delivery rose fractionally by 0.02% to trade at USD3.247 a pound.