Gold gains for third day

LONDON: Gold today rose for a third day after data showed that central banks in Russia and Kazakhstan increased bullion reserves last month, countering sales from exchange-traded products backed by the metal.

Gold rose 0.6 per cent to 1,590.89 dollar an ounce. Prices slid 1.8 per cent last week, reaching USD 1,555.55 on February 21, the lowest since July 12. Silver also rose 1.1 per cent to USD 29.04 an ounce.

Gold dropped a third week last week as minutes of the Federal Reserve's latest meeting showed some policymakers said the central bank should be ready to vary the pace of its monthly bond purchases.

Russia and Kazakhstan expanded their gold reserves for a fourth straight month in January, data on the International Monetary Fund's website show.

Gold is set for a fifth monthly loss, the worst run since 1997. Holdings in the SPDR Gold Trust, the biggest gold-backed ETP, fell 9.6 tonness to a six-month low of 1,280.7 tonnes on February 22, data on its website show.

Bullion demand in India and China, the biggest buyers, will probably climb this year, the London-based World Gold Council said.