FXstreet.com (Barcelona) - High risk aversion due to the current debt woes in the euro-zone is contributing to a rise in gold futures today, as investors rush to the safety of the yellow metal. The most active gold contract for February delivery has risen to a max of $1387.80 a troy ounce in recent trading, where it is nearly $20.00 from opening price.
Despite EU/IMF bailout efforts to soothe market fears over the weekend, the market remains highly cautious of the high debt burden in euro-zone periphery nations, causing yields for government bonds in Spain, Portugal and Italy to soar. The overall jittery market sentiment has gold bullion gaining on safe-haven demand as investors look to hedge their exposure to riskier assets. What's more, strong physical demand from the Asian continent continues to provide support, with robust buying reported in both China and India.
