Gold made modest gains on Wednesday as safe-haven buying intensified over European debt worries and mounting tension on the Korean peninsula, prompting a leap in private-sector investment in bullion. Data from the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, showed its holdings leapt by more than 30 tonnes to 1,267.322 tonnes as of May 25, setting a fresh record and underscoring a growing appetite for less risky investments. Concerns are growing about global growth prospects after Spain took over a small bank at the weekend, fanning fears the euro zone's sovereign debt crisis was spreading and hobbling the single European currency.'There a sense that Europe's financial mess won't disappear overnight and the situation in Korea is just starting and that's enough to make a case to buy gold,' a bullion dealer in Sydney said.

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