Gold rebounded on Tuesday after posting its biggest one-day loss in a month in the previous session on growing worries about another global economic downturn, but a weaker US dollar and bargain hunting by jewellers offered support. Gold added $6.26 to $1,520.99 an ounce by 0606 GMT, snapping a two-day drop. Gold, which hit a record around $1,575 in early May, has been buoyed by uncertainties about the outlook for the US economy and worries about eurozone debt.
Silver, which usually tracks gold, rose 40 cents to $35.09 an ounce, below a record at $49.51 an ounce hit in April. Holdings of the largest silver-backed exchange-traded-fund (ETF), New York's iShares Silver Trust, fell 2.1 percent from Friday to Monday, while the largest gold-backed ETF, New York's SPDR Gold Trust saw its holdings dip 0.08 percent during the same period.