Gold rose for the first time in four days in London as the dollar weakened against the euro, increasing the appeal of the metal as an alternative investment. Silver gained and platinum declined.

Gold has had a correlation of 0.67 to the euro-dollar exchange rate this year, up from 0.58 last year, Bloomberg data show. A figure of 1 would mean the two move in lockstep. The euro climbed for the first time in three days after the German economy grew at the fastest pace in 12 years.

Gold is tracking the gain in the euro “on the back of the German GDP numbers,” Mario Innecco, a futures broker at MF Global Ltd. in London, said today by telephone.

Gold for immediate delivery rose $1.82, or 0.2 percent, to $865.82 an ounce as of 12:36 p.m. in London. Prices have dropped 2.2 percent this week, compared with an advance of less than 0.1 percent in the UBS Bloomberg CMCI Index of 26 raw materials.

Futures for June delivery fell 50 cents to $866 on the Comex division of the New York Mercantile Exchange.

Gold “is likely to come under further pressure from speculators in the short-term following the increase in risk appetite and the view that inflation, for now, remains contained,” James Moore, an analyst at TheBullionDesk.com, said in a report.

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