By Rachel Graham Oct. 15 (Bloomberg) -- Gold rose in London as European equity markets fell, buoying demand for the metal as a haven investment. Platinum dropped. The Dow Jones Euro Stoxx 50 Index, a benchmark for the euro region, dropped as much as 2.6 percent. The index has fallen 15 percent since Lehman Brothers Holdings Inc. filed for bankruptcy on Sept. 15. Gold has risen 7 percent in the same period. ``We are seeing a negative trend in stocks and flight to safety in gold,'' Sagiv Peretz, a senior dealer at trading-system operator Finotec Trading U.K. Ltd., said by phone from London. ``As long as we have uncertainty in the markets, we will have a positive trend in gold.'' Gold for immediate delivery rose $9.17, or 1.1 percent, to $845.88 an ounce as of 11:07 a.m. in London. Futures for December added $8.40, or 1 percent, to $847.90 an ounce in electronic trading on the Comex division of the New York Mercantile Exchange. Switzerland's Zuercher Kantonalbank, which manages ZKB Gold ETF, has little space left in the bank's vault in Zurich to store the metal because of demand for the exchange-traded fund, analyst Susanne Toren said by phone from Zurich. ``It's full right up to the top,'' she said. The fund is backed by about 2.66 million ounces of gold and ZKB expects the metal to trade at $800 in three months. Assets in the SPDR Gold Trust, the largest exchange-traded fund backed by bullion, fell from a record yesterday. The amount of gold held by the company dropped to 767.58 tons on Oct. 14, according to data posted on its Web site. The holding rose to a record 770.64 tons on Oct. 10. Waning Demand? UBS AG said demand for gold as a haven may be waning. ``The splurge of safe haven buying we have seen via our Swiss sales desks has slowed,'' UBS analyst John Reade wrote in a report today. ``It has turned worryingly quiet in the gold market over the past two days.'' UBS expects gold to average $825 an ounce next year. Among other metals for immediate delivery, silver fell 9 cents, or 0.8 percent, to $10.87 an ounce, platinum dropped $22.40, or 2.2 percent, to $1,005.10 an ounce and palladium rose $1.75, or 0.9 percent, to $200.75. To contact the reporter on this story: Rachel Graham in London at rgraham13@bloomberg.net

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