NEW YORK (AP) Gold is logging its biggest gain in a month as investors turn their focus back to the economic outlook after Washington reached a deal to avoid a U.S. default and end a 16-day government shutdown.
Investors judge that the shutdown and the accompanying knock to consumer
confidence will hurt economic growth in the final quarter of the year. That may necessitate further economic stimulus. Gold is considered a hedge against any potential inflation that could arise from excessive stimulus to the economy.
The price of gold for December delivery rose $40.70, or 3.2 percent, to $1,323 on ounce. That was its biggest one-day gain since September 19.
Other metals including silver, platinum and palladium also rose. Copper edged lower.
In agricultural products trading, wheat, corn and soybeans all rose.
