NEW YORK (MarketWatch) -- Gold futures advanced on Thursday, receiving a boost from a report that a deal by European leaders to help Greece has been reached and as U.S. jobless claims dropped.
Gold for April delivery was last up $7.90, or 0.7%, at $1,084.20 an ounce in electronic trade. On Wednesday, the contract ended 90 cents lower at $1,076.30 an ounce on the New York Mercantile Exchange.
"Hopes that the E.U. summit may alleviate the growing crisis in the euro zone have seen risk appetite return as seen in buoyant equity markets this morning," analysts at GoldCore said in a note.
European Council President Herman Van Rompuy read out a statement saying that no direct aid will be delivered to Greece but that European governments stand ready to assist the country if needed.
The European Commission and the European Central Bank will monitor Greece's budget cutting efforts -- a first assessment will come in March -- and the International Monetary Fund will provide technical assistance.
Crude oil and U.S. stock futures also advanced after the government reported weekly first-time unemployment claims fell the most since July.
