Gold Advances, SPDR Assets Expand

SYDNEY-AUSTRALIA (Aug 12)   Gold rose to the  highest level so far this month after holdings in the biggest bullion-backed exchange-traded (ETF) product expanded for the first time since June.

Platinum advanced for a 4th day running to a 2-month high.

Bullion for immediate delivery rallied as much as 1.5% to $1,333.94, the highest price since 31 July, and traded at 1,331.69 at 2:05 p in Singapore. Gold for Dec delivery climbed as much as 1.6% to $1,333 on the Comex in New York and was at 1,330.40 oz.

China’s Gold consumption rose 54% to 706.36 tons in 1-H of Y 2013 from a year earlier, the China Gold Association said Monday. China’s jewelry sales climbed 42% in July from a year earlier, according to the National Bureau of Statistics. The country is the world’s largest gold producer.

Bullish Outlook Demand for physical Gold is strong, irrespective of prices, said the co-head of fixed income, currencies and commodities at Australia & New Zealand Banking Group Ltd. (PINK:ANZBY) said in an interview recently. The bank has forecast Gold at 1,400 in Y 2014 and 1,500 in Y 2015.

Silver for immediate delivery jumped  3.5% to 21.285, the highest price since 20 June  before trading at 21.1475 oz. The precious White metal advanced 3.3% last week, the biggest gainer since the period to 12 July.

Platinum climbed as much as 0.8% to 1,509.70, the highest price since 11 June, and was at 1,507.55. The gain extended last week’s 3.6% advance, the 5th straight weekly increase that’s the best run since February 2012.

Palladium increased as much as 0.6% to 746.40, the highest level since 29 July, and was at 746.25 oz.