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Gold climbed to the highest level in almost four weeks

via Bloomberg

Gold climbed to the highest level in almost four weeks as concern that global growth is slowing stoked bets the U.S. Federal Reserve may push back interest-rate increases, boosting demand for a store of wealth.

Gold for immediate delivery advanced as much as 1 percent to $1,235.01 an ounce, the highest price since Sept. 17, and was at $1,233.98 at 10:31 a.m. in Singapore, according to Bloomberg generic pricing. Silver, platinum and palladium all increased at least 0.8 percent.

Bullion rose 2.7 percent last week for the biggest gain since the period to June 20 as the Bloomberg Dollar Spot Index snapped a seven-week rally and global equities measured by the MSCI All-Country World Index fell. Should overseas growth be weaker than expected, the effect on theU.S. economycould lead the Fed to remove accommodation more slowly than otherwise, Vice ChairmanStanley Fischersaid on Oct. 11.

“Gold is going to be doubly influenced by both the equity markets and the dollar over the course of the week,”Edward Meir, an analyst at INTL FCStone Inc., wrote in a note. “We suspect that both will continue to drop over the short term, offering a measure of support to prices.”

TheInternational Monetary Fundlast week cut its forecast for global growth and said the euro area faces the risk of a recession. Traders see about a 33 percent chance the Fed will raise its benchmark rate at its July 2015 meeting, down from 59 percent on Sept. 18, according to data compiled by Bloomberg.