By Clementine Wallop Of DOW JONES NEWSWIRES SINGAPORE (Dow Jones)--Gold prices rose in Asian trading Tuesday, as the euro regained some ground against the dollar, boosting buying across the precious metals market. Spot gold was trading at $1,734.92 a troy ounce at 0525 GMT, up $4.62 from its previous settlement. Prices moved higher as Chinese buying picked up following the Lunar New Year holiday, a Beijing-based analyst said. "People [in China] are still very interested in buying gold," she said, adding that Asian demand has helped drive prices 10.9% higher since the start of the year. Chinese investors are keen to gain exposure to gold as a safe store of value amid continuing macroeconomic turmoil in the euro zone, she said. In the next few days, gold could move into consolidation mode after its strong rally since the beginning of January. "This trend has been quite strong, so it's time for a rest." Gold prices fell Monday as the dollar firmed and investors exercised caution during a European Union summit, where leaders agreed on the details of a permanent EUR500 billion bailout fund. However, analysts said investors remain nervous over Greek debt restructuring talks. This nervousness may support gold as investors move cash to safe-haven assets, an analyst said. But Mitsui Global Precious Metals said gold could come under pressure later in the day as investors square positions before the end of the month. "Gold looks like making a turnaround below $1,740/oz to retest the $1,703-1,710/oz level as the complex pauses before the month-end," it said in a report. Analysts cautioned that any renewed strength in the U.S. dollar this week could spark selling. When the greenback is firm, dollar-denominated commodities become more expensive to investors holding other currencies. A slightly stronger euro helped bolster gold prices Tuesday. The single currency was trading at $1.3187 compared with $1.3141 late in New York Monday. Gold "is tracking the euro quite closely in terms of its gains and losses," ANZ commodity analyst Natalie Robertson said. Other precious metals rose alongside gold Tuesday, with silver also benefiting from safe-haven demand. It was trading at $33.61/oz, up 11 cents from its previous close. Platinum rose $6.25 to 1,615.25/oz and palladium rose $2.00 to $688/oz. -By Clementine Wallop; Dow Jones Newswires; 65 64154 082; clementine.wallop@dowjones.com

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