Gold, trading near a three-week high in London, may gain for a fourth day as concern about Europe’s debt crisis spurs demand for a protection of wealth. Christian Noyer, a Governing Council member of the European Central Bank, yesterday ruled out a restructuring of Greece’s debt, calling it a “horror story” that would leave the nation shut out of financing for years. Gold climbed to records priced in euros and British pounds as policy makers disagree over how to solve Greece’s fiscal woes. “Market participants remain nervous about peripheral debt troubles in the euro zone,” Andrey Kryuchenkov, an analyst at VTB Capital in London, said today in a report. “Gold will remain well-supported in the short-term.” Immediate-delivery gold was unchanged at $1,526.63 an ounce by 11:31 a.m. in London, after touching $1,527.82, the highest level since May 4. Gold for June delivery was 0.2 percent higher at $1,527 an ounce on the Comex in New York. Bullion was unchanged at $1,527 an ounce in the morning “fixing” in London, used by some mining companies to sell output, from yesterday’s afternoon price. Concern about faster inflation, Europe’s debt crisis, a weakening dollar and fighting in Libya boosted gold to a record $1,577.57 on May 2. Prices are up 7.5 percent in 2011 after climbing the past 10 years, the longest run of gains in at least nine decades. The metal reached all-time highs of 1,087.81 euros and 944.93 British pounds an ounce today, according to data compiled by Bloomberg. Greek Debt Some European Union officials have supported a so-called “reprofiling” of Greece’s debt, whereby its payback period could be lengthened and interest costs may be reduced. Moody’s Investors Service is “very likely” to class a reprofiling of Greek debt as a default, according to its EMEA Chief Credit Officer Alastair Wilson. Silver for immediate delivery gained 1.8 percent to $37.3475 an ounce in London. Holdings of the metal in exchange- traded products slipped 30.77 metric tons to 13,974.56 tons yesterday, the lowest level since October, data compiled by Bloomberg show. Palladium rose 0.8 percent to $742.50 an ounce. Platinum gained 0.2 percent to $1,771.15 an ounce. To contact the reporter on this story: Nicholas Larkin in London at nlarkin1@bloomberg.net; To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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