Gold prices rallied on Monday, adding on to last week’s 2.5% advance as the volatility that has gripped the stock markets showed no sign of calming.
By midday in East Asia, gold for February delivery GCG5, +0.21% was higher by $10.60, or 0.9%, at $1,226.70 an ounce, while March silver SIH5, +1.15% climbed 16 cents, or 1%, to $16.58 an ounce.
Asian stocks were mostly firmer after benign Chinese economic data helped offset risk aversion generated by a continuing slide in crude oil prices, while the dollar fell to a one-month low against the safe-haven yen.
MSCI's broadest index of Asia-Pacific shares outside Japan pared earlier losses to rise 0.3 per cent after Chinese trade data proved better than expected.
The indicators provided relief as recent signs of weakness in the world's second largest economy has been central in worries over global growth.
Hong Kong's Hang Seng gained 0.7 per cent and the Shanghai Composite Index rose 0.8 percent.
A bond index created by the Singapore Exchange (SGX) and Reuters tracking Singapore-dollar denominated bonds continues to hit new highs, outperforming the Straits Times Index (STI) for the week ended Jan 9, 2015.
The Singapore Fixed Income Indices (SFI) has gained 0.66 per cent to hit 120.32 points for the year to Jan 9, compared to a 0.79 per cent loss for the STI, said SGX in a weekly note.
There are currently no funds tracking the SFI, which comprises 62 per cent Singapore government bonds, 16 per cent statutory board bonds, and 22 per cent corporate bonds.
One popular exchange-traded fund (ETF) tracking Singapore government-related bonds is the ABF Singapore Bond Index Fund. It closed at S$1.167 on Monday, down 0.26 per cent for the year. However, it went ex-dividend on Jan 2 with a distribution of S$0.0305 per unit.
