PRECIOUS-Gold rises, heads for 12th annual gain

http://1goldinvestment.com/precious-gold-rises-heads-for-12th-annual-gain/

PRECIOUS-Gold rises, heads for 12th annual gain

* All eyes on U.S. budget talks, due to resume at 1600 GMT

* Producer selling into higher prices – trade

* India gold demand drops ahead of New Year celebration

By David Brough

LONDON, Dec 31 (Reuters) – Gold rose on Monday and was on track for a 12th straight annual gain, underpinned by uncertainty over whether U.S. politicians will resolve a U.S. fiscal crisis.

Gold was up $10.50 or 0.63 percent at $1,665.4 per ounce at 1052 GMT, having earlier risen almost 1 percent to a session high of $1,668.70.

It was up around 6 percent for the year, heading for a 12th straight year of gains on rock-bottom interest rates, concerns over the financial stability of the euro zone, and diversification into bullion by central banks.

U.S. gold for February rose $9.80 an ounce to $1,665.70.

Read more: http://1goldinvestment.com/precious-gold-rises-heads-for-12th-annual-gain/