By Halia Pavliva Nov. 4 (Bloomberg) -- Platinum and palladium futures gained as the dollar's decline boosted the allure of the precious metals as alternative investments. The euro climbed as much as 2.7 percent against the dollar, and the Reuters/Jefferies CRB Index of 19 raw materials jumped as much as 4 percent. Gold and silver also surged. ``Keep your eyes on the dollar,'' said Ralph Preston, a futures analyst at Heritage West Futures Inc. in San Diego. ``A reversal in the recent uptrend could put the metals on an upward trajectory.'' Platinum futures for January delivery rose $27.80, or 3.4 percent, to $854.90 an ounce at 11:06 a.m. on the New York Mercantile Exchange. A close at that price would mark the biggest gain for a most-active contract since Oct. 14. Before today, the metal tumbled 64 percent from a record $2,308.80 in March. Palladium futures for December delivery gained $8.80, or 4.4 percent, to $211.10 an ounce. Before today, the price declined 47 percent this year. The metals are used in jewelry and pollution-control devices in cars. A plunge in auto sales drove prices lower. ``Platinum might regain its footing near or within the $800 to $850 range, and hope to receive better news from the automotive sector before it can resume climbing back to anything in four digits,'' said Jon Nadler, a senior analyst at Kitco Inc. in Montreal. Commodities rose in tandem with a U.S. Election Day rally in equities. ``We are seeing a big run to precious metals as the U.S. public goes to the polls,'' Miguel Perez-Santalla, a sales vice president at Heraeus Precious Metals Management in New York, said in a report. ``This is normal in times of uncertainty, and we can expect cooler heads to prevail in the days after the election.'' Auto Slump Gains by the metals may be limited because the auto industry probably won't rebound anytime soon. ``I wouldn't be going too long precious metals,'' Perez- Santalla. ``Auto sales globally continue to implode.'' U.S. auto sales plummeted 32 percent in October to the lowest monthly total since January 1991, led by General Motors Corp.'s 45 percent slide, as reduced access to loans and a weaker economy kept consumers off dealer lots. Industrywide U.S. auto sales fell for the 12th straight month, extending the longest slide in 17 years. ``Carmakers face existential issues, and not just some cyclical slump in sales,'' Nadler of Kitco said. To contact the reporter on this story: Halia Pavliva in New York at hpavliva@bloomberg.net.

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