Gold prices advanced by the most in more than a
week as declining global equity markets boosted demand for haven assets.
The MSCI All-Country World Index of shares
retreated as much as 1.6 percent on 3 February.
Central banks from Turkey to South Africa have raised interest rates in a bid
to defend their currencies from weakening. Gold extended gains after a report signaled slower U.S. manufacturing.
Gold futures for April delivery advanced 1.6 percent to settle at $1,259.90 an ounce on the Comex in New York, the biggest gain since Jan. 23.
Bullion climbed 3.1 percent
in January, the first gain since August. The U.S. Mint sold 91,500 ounces of
gold coins last month, the most since April, joining counterparts from
Australia to Europe in reporting higher demand.
Silver futures for delivery in March gained 1.5 percent to $19.409 an ounce on the Comex.
On the New York Mercantile Exchange, palladium
futures for March delivery lost 0.1 percent to
$702.70 an ounce, an eighth straight decline and the longest slump since March
2011. Platinum futures for April delivery gained 0.8 percent
to $1,386.60 an ounce, snapping six sessions of losses