Gold futures fell Monday for a second session as the U.S. dollar rose against its major rivals, reducing the metal's appeal as an investment alternative. Earlier, gold rose as a tumble in the stock market and fresh bankruptcy talk in the auto sector heightened the metal's attraction as an asset that holds value in tough times. On the Comex division of the New York Mercantile Exchange, gold for April delivery was down $7.70, or 0.8%, to $915.50 an ounce. June gold, with a larger number of outstanding total contracts, fell $7.40, or 0.8%, to $917.90 an ounce. In currencies trading, the U.S. dollar strengthened as investors fled equity markets amid renewed fears over the auto sector. A stronger greenback tends to push down dollar-denominated gold prices, though this pattern hasn't always held true in gold's recent trading. Gold declined as "the metal resumed its traditional inverse relationship with the dollar while pockets of month-end book squaring emerged," said James Moore, a precious metals analyst at TheBullionDesk.com. "We remain bullish on the dollar and believe that aggressive U.S. policy actions taken so far will help the U.S. economy and the dollar outperform," wrote Marc Chandler, currency strategist at Brown Brothers Harriman. But a sense of anxiety in the financial markets helped limit gold's losses, as some investors buy the metal as an investment safe-haven. The suddenly renewed possibility of a bankruptcy at General Motors, the nation's biggest carmarker, helped send stocks broadly lower in Asia and Europe. U.S. stocks also fell sharply. Meanwhile, crude-oil futures lost more than 3%. See Currencies. Investors also worried that the G20 meeting won't produce an agreement on additional fiscal stimulus measures. Gold holdings in SPDR Gold Shares , the biggest gold ETF, rose to a new record high of 1,127.44 tons Friday, up 2.45 tons from the previous day, according to the latest data from the fund. "Investment demand is set to remain robust as savers internationally are punished by miniscule interest rates and negative real interest rates," said Mark O'Byren, executive director at Gold and Silver Investments. In other metals trading, silver for May delivery fell 1.9% to $13.015 an ounce. April platinum lost 0.8% to $1,118.50 an ounce, and June palladium dropped 2.8% to $217.35 an ounce. May copper slid 3.3% to $1.7755 a pound. In equity trading, shares of Barrick Gold Corp. , the world's largest gold mining company, gained 1.6% to $32.71, while Goldcorp Inc. added 0.7% to $33.99. U.S.-listed shares of South Africa's Gold Fields Ltd. climbed 2.2% to $11.35. The Amex Gold Bugs Index , which tracks the share prices of major gold companies, rose 0.2% to 325.94. The iShares Gold Trust ETF rose 0.3% to $91.12, while the iShares Silver Trust ETF traded down 0.9% at $13.04.

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