Spot gold rises 1 percent on physical buying

Last Updated: Wed, Apr 17, 2013 03:38 hrs

Cash gold jumped 1 percent to a session high of $1,381.80 an ounce on Wednesday as physical buyers rushed to buy bullion after the price plunged to its weakest since early 2011 in the previous session.

Physical dealers also noted a shortage in gold bars because of the demand, pushing up premiums for gold bars in Singapore and Hong Kong. Bullion has fallen about 17 percent so far this year after an unbroken 12-year string of gains.

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