Futures Pros – Gold futures extended gains on Monday, rising to a two-day high as concerns over accelerating commodity prices fuelled concerns over inflation, while simmering turmoil in the Middle East and North Africa boosted the safe haven appeal of the precious metal. On the Comex division of the New York Mercantile Exchange, gold futures for June delivery traded at USD1,438.75 a troy ounce during European afternoon trade, jumping 0.62%. It earlier rose to USD1,439.45 a troy ounce, the highest price since March 31. Earlier in the day, crude futures for delivery in May traded at USD108.78 a barrel on the New York Mercantile Exchange, the highest level since September 24, 2008, while Brent oil surged above USD119.50 a barrel, the highest price since August 21, 2008. Meanwhile, fighting in Libya continued over the weekend. Troops loyal to leader Muammar Gaddafi pushed anti-government forces out of positions along coastal oil towns, while rebels retreated from the refinery ports of Ras Lanuf and Brega in the eastern part of the country. Anti-government demonstrations continued in Yemen over the weekend, while Bahrain’s government suspended the state's main opposition newspaper on Sunday, after accusing it of falsifying news about sectarian unrest and a government crackdown on protests. Gold is often considered a haven against political turmoil and a hedge against inflation in part because it is not as linked to industrial production as other commodities and equities. Elsewhere, silver for May delivery rallied 1.77% to trade at a 31-year high of USD38.48 a troy ounce, as investors sought a cheaper alternative to gold. U.S. Mint data released on Friday showed that gold American Eagles sales were the strongest in the first quarter since the end of 2009, and quarterly sales of silver American Eagle coins rose to a record in the same period.

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