Gold and silver futures rose for a second straight day in New York as equities slid in Europe and Asia and U.S. index futures declined, strengthening demand for precious metals as alternative investments. The Dow Jones Stoxx 600 Index of European shares dropped as much as 1.9 percent, the MSCI World Index slipped 0.9 percent and Standard & Poor’s 500 Index futures slid as much as 1.1 percent. Some investors buy gold as an alternative to holding company shares. “The gold market is expected to trade in a higher direction, with prices potentially reaching into the $900- and $925-an-ounce range within a few days,” Tom Pawlicki, a metals analyst at MF Global Ltd. in Chicago, said today in an e-mailed report. “Support will come from the likelihood that equity markets continue their short-term correction and from increased physical demand for gold.” Gold futures for June delivery jumped $7.10, or 0.8 percent, to $894.60 an ounce at 8:41 a.m. on the Comex division of the New York Mercantile Exchange. Last week, gold slid 1.7 percent, the fourth-straight drop and the longest stretch of weekly losses since August. The most- active contract still was down 3 percent in the past year before today and 4.1 percent this month. Silver futures for May delivery gained 6.5 cents, or 0.5 percent, to $12.17 an ounce on Comex. The price still has tumbled 32 percent in the past year before today.

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