Daily Gold Update

Source: Bloomberg

New York— Gold rose for the first time in four sessions as the dollar slumped and crude oil gained, boosting the appeal of the precious metal as an inflation hedge. Silver also advanced. Oil futures rebounded from the biggest decline in three months after Iran tested a long-range missile. The euro climbed from the lowest in a week against the dollar. Gold has gained 40 percent in the past year as oil soared 89 percent and the euro jumped 15 percent against the dollar. “Any rebound in the euro or crude oil could see the metal gain further ground,'' UBS AG metals strategist John Reade said in a report. Gold is “supported by concerns about financial market weakness, inflation and the ongoing effects of the credit crunch,'' he said.

Gold futures for August delivery rose $5.30, or 0.6 percent, to $928.60 an ounce on the Comex division of the New York Mercantile Exchange. The price dropped 2.5 percent in the previous three sessions. Silver futures for September delivery rose 22 cents, or 1.2 percent, to $18.175 an ounce. The metal has gained 22 percent this year, while gold climbed 11 percent. See full story.