Gold climbs as drop to four-month low may lure buyers

London, Nov 27. Gold today gained on speculation prices that fell to a four-month low on the outlook for less US stimulus will spur physical purchases. Gold rose 0.5 per cent to USD 1,248.59 an ounce. Silver also rose 0.6 per cent to USD 19.97 an ounce. Bullion reached USD 1,225.55 an ounce on November 25, the lowest since July 8. China's net imports of gold from Hong Kong in October reached the second-highest level on record. Gold is set for the first annual drop in 13 years as some investors lost faith in the metal as a store of value and on speculation a strengthening economy will spur the Federal Reserve to slow its 85 billion dollar of monthly debt purchases. A report yesterday showed US building permits increased in October and economists expect American data today to show consumer confidence rose, while durable-goods orders declined.