Gold prices advanced further in Asian trade Wednesday mainly on weak stocks amid rising concerns over Europe's credit crisis and weak US economy.
Gold for immediate delivery was seen trading at $ 1242.58 an ounce at 11.30 a.m Singapore time while US gold futures for August delivery was at $ 1243.47 an ounce.
Meanwhile, the world's largest gold-backed exchange-traded fund, SPDR Gold Trust said its holdings rose to a record 1,320.436 metric tons by June 29 from 1,316.177 metric tons on June 24.
Silver and palladium were steady, while platinum tracked industrial metals and equities lower.
The yen and the Swiss franc held on to broad gains on Wednesday as nervous investors rushed to unwind leveraged carry trades on the back of a significant deterioration in risk appetite.
Japan's Nikkei average fell more than 2 percent to a seven-month low on Wednesday after investors fled the U.S. stock market and the S&P 500 tumbled in a sell-off triggered by a wave of rising alarm over the global economic outlook.
The MSCI index of Asia Pacific shares outside Japan dropped 1.3 per cent.
On Tuesday, US gold futures for August delivery settled up $3.80 at $1242.40 while spot gold closed at $1241.15 an ounce
Bullion rebounded after falling toward $1220 an ounce earlier in the week. it struck a record above $1,264 an ounce last week.
