Gold prices eased a touch Tuesday after earlier hitting record highs, as a rebound in assets seen as higher risk, such as shares and the euro, took some of the heat out of the appetite for safe havens. Gold prices remained elevated, however, as investors continued to favor the metal amid heightened concerns that the debt crisis engulfing Greece may ensnare Italy and Spain, and as time grew short for raising the US debt ceiling. The contract for July delivery settled down $1.20, or 0.1 percent, at $1,600.90 a troy ounce on the Comex division of the New York Mercantile Exchange. The August contract, which was the most actively trade, touched a record high of $1,610.70 a troy ounce early Tuesday but pulled back as market participants cashed out to profit from the yellow metal's 10-session rally. Gold's steep gains had been fueled by worries that debt crises in Europe and the US could zap assets such as stocks and bonds, but signs of progress on separate negotiations to raise the US debt limit and to secure another round of financing for debt-laden Greece limited buying in precious metals Tuesday. Some investors buy gold on the belief that it holds its value better than other assets during market turmoil. Gold futures slid by more than $10 an ounce. The August contract fell as low as $1,586.20 a troy ounce.
