Gold gained to the highest level in more than five months as global data strengthened the case for more central-bank measures to boost growth, increasing demand for the metal. Silver climbed to the highest price since April. Immediate-delivery gold rose as much as 0.3 percent to $1,697.20 an ounce, the most expensive since March 13, and was little changed at $1,694.18 at 2:26 p.m. in Singapore. Assets in gold-backed exchange-traded products, which reached a record 2,460.462 metric tons on Aug. 29, stood at 2,459.963 tons on Aug. 31, according to data tracked by Bloomberg. Euro-area manufacturing shrank in August more than first estimated, holding below 50 for a 13th month, according to data yesterday. The debt crisis in Europe, China’s largest export market, has hurt global growth, and Sept. 1 data showed output in the Asian nation shrank for the first time in nine months in August. South Korea plans to announce economic stimulus next week, Finance Minister Bahk Jae Wan said today. “The fall in August manufacturing levels, particularly in China, raises the prospects of additional stimulus,� Lachlan Shaw, an analyst at Commonwealth Bank of Australia, wrote in an e-mail today. “The composition, timing and size of the stimulus package remain uncertain.� Gold also climbed as the euro rose against the dollar before leaders in the region meet this week to discuss European Central Bank President Mario Draghi’s plan to buy bonds of debt- saddled nations. Bullion tends to trade inversely to the dollar. U.S. Manufacturing Data today may show manufacturing in the U.S. probably teetered between growth and contraction in August, adding to signs of a slowdown. Federal Reserve Chairman Ben S. Bernanke said on Aug. 31 that additional stimulus will be taken as needed. December-delivery gold rose as much as 0.7 percent from the Aug. 31 settlement price on the Comex in New York to $1,699.60 an ounce, the highest price since March 27. It was last at $1,696.20. U.S. markets were closed for a holiday yesterday. Spot silver climbed for a third day, gaining as much as 0.7 percent to $32.315 an ounce, the highest level since April 13, before trading at $32.1637. Cash platinum rose for a third day, adding 0.5 percent to $1,555.93 an ounce. Palladium also advanced for a third day, increasing as much as 1.6 percent to $640.75 an ounce, and last traded at $638.50. To contact the reporter on this story: Glenys Sim in Singapore at gsim4@bloomberg.net To contact the editor responsible for this story: Jake Lloyd-Smith at jlloydsmith@bloomberg.net

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