Future Gold Update

Comex gold futures closed slightly higher with prices likely buoyed by news that Saudi Arabian oil official will cut oil output more than certainties that the Fed may initiate a mid-winter stimulus cut in rates.

In addition, news that two companies have received approval from India's securities regulator for the launch of gold exchange-traded funds added underlying support to the market.

Although the ETFs are not likely to impact retail gold consumption, traders say it will attract buying interest from financial institutions that may not have invested in gold previously.

But despite any support, gold remains confined to a $640-$650 an ounce range and continues to be defined by trends and expectations in other markets.