Gold was on the rise today, with spot prices rising to US$1,115/oz after ending 2009 at US$1,095/oz to post the largest annual gain in 30 years as the precious metal provided a safe haven for investors, who were looking to cut risks in a period of high economic instability. The recent weakness of the US Dollar, which offered an alternative investment option, has contributed to gold’s rally and was the main reason behind its rise today as the US Dollar Index, which measures the greenback’s value against a basket of currencies, declined 0.4%. Other precious metals moved along with silver and platinum advancing to US$17.13/oz and US$1,497/oz respectively. Precious metal focused mining stocks were bullish today, making for attractive buying target for investors due to higher prices. Platinum producer Lonmin (LSE: LMI) led the sector in the FTSE 100 with a 3.5% climb, while gold miner Randgold Resources (LSE: RRS) followed with a 1.8% gain and silver miner Fresnillo (LSE: FRES) rose marginally. In the FTSE 250, gold miner Petropavlovsk (LSE: POG) rallied 6.5% for the lead, while Aquarius Platinum (LSE: AQP) and silver producer Hochschild Mining (LSE: HOC) advanced 4.6% and 2.1% respectively. Small caps generally moved with the sector, posting good gains. Brazil focused gold miner Horizonte Minerals (AIM: HZM) surged 10% to emerge as one of the top performers among junior companies. Copper and gold miner EMED Mining (AIM: EMED) and Tajikistan operating gold miner Kryso Resources (AIM: KYS) both added more than 8%, while Turkey focused gold miner Ariana Resources (AIM: AAU) moved up 7.5%, Lesotho operating diamond miner Kopane Diamond Developments (AIM: KDD) climbed 6% and Kyrgyzstan focused gold explorer and developer Chaarat Gold Holdings (AIM: CGH) and Philippines focused gold producer Medusa Mining (AIM&ASX: MML) added 4%. Iran focused gold explorer Persian Gold (AIM: PNG) and Uzbekistan focused gold miner Oxus Gold (AIM: OXS) headed in the opposite direction, sliding 5% and 4.5%.

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