BLBG : Gold Rebounds From Biggest Drop in a Week as Haven Demand Rises
Aug. 25 (Bloomberg) -- Gold advanced as a decline in global stocks, crude oil and other commodities helped fan demand for the precious metal as a store of value.
Bullion rebounded from the biggest decline in a week after most U.S. stocks fell, led by financial companies, reviving investor appetite for so-called haven assets.
“There are some shifts in demand into safer assets such as gold after U.S. stocks and other commodities declined,” said Park Jong Beom, a trader with Tongyang Futures Co. in Seoul. “Still, gold will find it difficult to break through the $1,000 level this year.”
Gold for immediate delivery climbed 0.4 percent to $944.90 an ounce at 8:52 a.m. in Singapore. The metal is up 7.1 percent this year. The MSCI Asia Pacific Index of regional equities was little changed at 113.42 after earlier losing as much as 0.2 percent.
Holdings in the SPDR Gold Trust, the biggest exchange- traded fund backed by bullion, were unchanged at 1,066.41 metric tons yesterday, according to figures on the company’s Web site.
Among other precious metals for immediate delivery, silver dropped 0.3 percent to $14.1238 an ounce, platinum was little changed at $1,240.50 an ounce and palladium fell 0.2 percent to $283.50.
