Gold rises on weak dollar

Gold futures on the COMEX division of the New York Mercantile Exchange rose Friday to the highest settlement since June 19 on a weaker dollar. The most active gold contract for August delivery rose 8.7 dollars, or 0.68 percent, to settle at 1,292.9 dollars per ounce. The dollar index, a gauge of greenback against a basket of currencies, dropped from 82.783 late Thursday to 82.606 Friday. Drop in the U.S. stock markets further drove investors to safe- haven gold. Detroit's filing for bankruptcy protection and Moody's Investors Service's downgrade of Chicago debt rating from AA3 to A3 also lent support to gold, market analysts said. Silver for September delivery climbed 7.1 cents, or 0.37 percent, to close at 19.46 dollars per ounce. Platinum for October delivery gained 16.4 dollars, or 1.16 percent, to close at 1,431.2 dollars per ounce.