Gold futures on the COMEX Division of the New York Mercantile Exchange on Tuesday hiked 1.9 percent to settle at the highest level in two weeks, as approval of the second bailout plan for Greece strengthened market confidence.

The most active gold contract for April delivery gained 32.6 dollars, or 1.9 percent, to 1758.5 dollars per ounce.

Market analysts said that Gold is now behaving like a risk asset, which gained strength after European finance ministers approved a deal to give Greece up to 130 billion euros (171.9 billion dollars) of financial aid.

U.S. markets were closed Monday for the Presidents Day holiday, and Tuesday was the first floor trading day to react to the Greek news.

Meanwhile, gold also benefited from news that China recently cut its required reserve ratio to spur lending and increase liquidity in its financial system. China is a top consumer of gold, copper and other commodities.

Silver for March delivery rose 1.213 dollars, or 3.65 percent, to 34.429 dollars per ounce.