By Rachel Graham Oct. 28 (Bloomberg) -- Gold advanced in London as global stocks rallied, halting a selloff in commodities. Platinum also rose. More than $12 trillion has been erased from equity values this month, spurring a 14 percent decline in gold prices as investors sold assets to raise cash. Hong Kong's Hang Seng Index rallied 14 percent today, rebounding from its biggest decline in a decade, European stocks rose and U.S. index futures climbed. The S&P GSCI index of 24 raw materials, which slid to a 21-month low yesterday, climbed 1.1 percent. ``We are seeing a bit of a recovery in equities,'' Mario Innecco, a futures broker at MF Global Ltd. in London, wrote in an e-mail. ``As gold has been associated negatively with the deleveraging process we should expect gold to rally strongly.'' Gold for immediate delivery gained $14.92, or 2 percent, to $745.72 an ounce as of 8:56 a.m. in London. Futures for December added $10.50, or 1.4 percent, to $753.40 an ounce. Gold in the SPDR Gold Trust, the largest exchange-traded fund backed by bullion, expanded 0.3 percent to 749.21 metric tons yesterday, according to figures on the company's Web site. The fund was at a record 770.64 tons Oct. 13, overtaking Japan as the world's seventh-largest gold holding. Among other metals for immediate delivery, silver added 7.63 cents, or 0.8 percent, to $9.14 an ounce. Platinum rose $45.10, or 5.9 percent, to $816.10 and palladium rose $3.25, or 1.9 percent, to $176.25 an ounce. To contact the reporter on this story: Rachel Graham in London at rgraham13@bloomberg.net

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