Gold climbed for a fourth day on theory that increasing consumer prices will enhance investor demand for the metal as a hedge against inflation.

Immediate-delivery bullion went up by 0.3 percent to one thousand three hundred and seventy seven and ninety seven cents per ounce at 2:24 p. m. in Singapore. The metal climbed to one thousand three hundred and eighty two dollars and seventeen cents an ounce yesterday, the highest price since Jan. 13. Futures for April delivery climbed 0.2 percent.

Gold holds back strength to climb higher against the backdrop of rising inflation globally, stated Bae Jung Seok, a senior trader at Eugene Investment & Futures Co. in Seoul.

Today, Singapore increased an inflation forecast for 2011 after the economy grew at a record pace last year. Wholesale prices went up for a seventh month in America and gained 8.2 percent in the last month in India. The Bank of England forecast inflation climbing at 4.4 percent this year, more than double its target.

The United Nations Food & Agriculture Organization’s World Food Price Index climbed to a record in January. Food prices have soared to very high levels pushing forty four million people into extreme poverty since June, as reported by the World Bank, this week.

Weakness in the dollar, which characteristically moves opposite to gold, also gave some kind of support to the metal, Bae said.

The dollar declined to a one-week low versus the euro before reports forecast to show that European consumer confidence went up and an index of America leading indicators gained, adding to signs that the global recovery is getting reinforced.