Gold gains as the stock market falls and investors seek a haven

Gold gained for the first day in four in Asia, after a decline lured physical buyers of the metal.

Gold gained for the first day in four in Asia, after a decline lured physical buyers of the metal. Bullion slumped 6.3 percent in the past three days as a rally in global equities and growing optimism that the world financial crisis may be easing reduced demand for the metal as a haven. “We’re seeing some physical buying today for the first time in a long time,” Ellison Chu, manager of precious metals at Standard Bank Asia Ltd., said from Hong Kong. Some traders were replenishing inventory, he said. Gold is trading at $877 as of 9:15am, GMT. Gold’s Pool-position is 49% Short, meaning that Finotec client are split between buying and selling the precious metal. 5,197 gold lots were traded yesterday.