By Glenys Sim March 4 (Bloomberg) -- Gold dropped for the first time in six days as the dollar rebounded and investors sold the metal to lock in gains after the longest rally in five months. Gold for immediate delivery fell as much as 0.4 percent to $1,135.30 an ounce, and traded at $1,135.83 at 2:16 p.m. in Singapore. Bullion gained 3.8 percent in the past five days, the longest winning streak since the period ending Oct. 8. “From a fundamental point of view, we would still argue that there are some downside risks for gold,” Credit Suisse Group AG analyst Stefan Graber said in a note today, citing the prospect of an increase in interest rates. Higher U.S. rates would boost the dollar, potentially hurting gold prices. The dollar rose as much as 0.2 percent today against a basket of six currencies, including the euro and pound. The Dollar Index dropped to a two-week low yesterday after concerns about the economic recovery in the U.K. and other parts of Europe eased. Holdings in the SPDR Gold Trust, the biggest exchange- traded fund backed by the metal, rose for a second day yesterday to 1,115.51 metric tons, according to the company’s Web site. Among other precious metals for immediate delivery, silver fell 0.5 percent to $17.1075 an ounce, platinum slid 0.4 percent to $1,572.25 an ounce, and palladium dropped 0.3 percent to $447.30 an ounce. --Editors: Richard Dobson, Tan Hwee Ann. To contact the reporter on this story: Glenys Sim in Singapore at gsim4@bloomberg.net To contact the editor responsible for this story: James Poole at jpoole4@Bloomberg.net Related Articles

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