Gold ends near one-week high on Senate deal

Gold for December delivery GCZ3 -0.22%  climbed $9.10, or 0.7%, to settle at $1,282.30 an ounce on the Comex division of the New York Mercantile Exchange after slipping 0.3% on Tuesday. That was the highest settlement price since Oct. 10, according to FactSet data.

December silver SIZ3 -0.49%  rose 17 cents, or 0.8%, to $21.37 an ounce, following a loss of 0.8% a day earlier.

Gold prices saw the bulk of their gains Wednesday afternoon, buoyed by the “gold market’s confidence that the global economy will not experience a negative shock from a U.S. debt default,” said Jason Rotman, president of Lido Isle Advisors. “This global growth could potentially further drive demand for the precious metal, especially at these levels below $1,300.”

However, the latest Federal Reserve survey released Wednesday showed that about a third of the country was experiencing slower growth in September and early October. The survey, also known as the Beige Book, was released shortly after gold trading closed on Comex.

Gold climbed on Comex despite some strength in the U.S. dollar, “which is unconventional” and shows that gold may be at oversold levels, Rotman said. The dollar index DXY -0.17%  rose on the back of hopes for an end to the government shutdown and debt-ceiling issue, then pulled back.