Gold prices rose on Thursday, hovering near record levels, supported by uncertainty over the US election and expectations of further interest rate cuts from major central banks, as investors await a raft of US data for further clues on market trends. Spot gold was up 0.3 per cent at $2,682.14 an ounce by 0221 GMT.
Prices reached $2,685.16 on Wednesday, just shy of the record high of $2,685.42 set on 26 September. US gold futures were up 0.2 per cent at $2,697.40.
"A Trump presidency would support gold as it could lead to increased trade tensions and a widening of the budget deficit," said Kelvin Wong, senior market analyst for Asia-Pacific at OANDA. US retail sales and industrial production data for September, as well as weekly jobless claims, are due later in the day. The European Central Bank is also likely to cut interest rates again as inflation in the eurozone is now increasingly under control. Gold prices typically rise in an environment of low interest rates and geopolitical tensions. Among other precious metals, spot silver rose 0.4% to $31.79 an ounce. Platinum gained 1.2% to $1,005.00. Palladium was up 0.5% at $1,028.72.
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