AHMEDABAD (Commodity Online): Gold rose as investors piled into the traditional safe haven asset as Europe's debt crisis intensified on concerns about political instability in Italy and Greece.
On Friday, MCX Gold December delivery contract rose by 0.70 percent to 28668 rupees per kilogram. Support for contract seen at 28500 rupees and Resistance for contract looks at 28900 rupees.
Bullion biggest one-day gain in two weeks reflected improving sentiment after Germany's Chancellor Angela Merkel ruled out using gold to boost the euro zone bailout fund.
Investors will watch this week for China's inflation numbers, due on Wednesday. On fear that a disorderly default of an EU sovereign would trigger losses in creditor banks that could ricochet around the global financial system much in the same way the bankruptcy of Lehman brothers hit markets in 2008.
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