Gold advanced to the highest level in more than a week, heading for the first quarterly increase in a year, as concern that the U.S. government may be shut down because of a budget impasse boosted haven demand.
Bullion for immediate delivery advanced as much as 1.3 percent to $1,354.35 an ounce, the highest price since Sept. 20, and was at $1,340.80 at 3:06 p.m. in Singapore. Prices are 8.6 higher in the three months ending today, the first quarterly increase since the period to September 2012.
Congress has just today to end the stalemate that raises the risk of the first government shutdown in 17 years. The House of Representatives voted yesterday to stop many of the central provisions of the Affordable Care Act for a year, tying it to an extension of government funding. Should the Senate reject the bill today the government could be shut down from tomorrow.
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