Gold for December delivery gained $3.40 to $586.30 an ounce on the New York Mercantile Exchange.
Shares of Barrick Gold Corp. rose 25 cents to $30.60 in afternoon trading on the New York Stock Exchange. Earlier Tuesday, Barrick raised its hostile bid to acquire NovaGold Resources Inc., which saw its shares jump 56 cents, or 3.7 percent, to $15.63 on the American Stock Exchange.
Newmont Mining Corp. shares climbed 60 cents to $43.85 on the Big Board. AngloGold Ashanti Ltd. shares rose 62 cents to $41.29, while Gold Fields Ltd. shares edged up 10 cents to $17.11.
The dollar dipped against most major currencies, while oil prices rose. A barrel of light, sweet crude added 72 cents to $59.53 per barrel on the Nymex.
A combination of dollar weakness and higher oil prices _ which can signal rising inflation _ often leads investors to gold, which is considered by some as a hedge against inflation and a safer haven for funds when the dollar is in decline.
