Gold edges higher as stock market fears worsen

SYDNEY, Oct 27 (Reuters) - Gold climbed in early Asia trading on Monday, pulling silver higher in its wake as investors sought more safe havens amid concerns Asian stocks were set to fall.

-- Spot gold XAU= quoted at $734.95 at 2255 GMT versus $731.50 in late New York trading.

-- Gold ended higher on Friday, snapping a three-day losing streak that took it below $700 an ounce.

-- U.S. gold futures for December delivery GCZ8 settled up $15.60, or 2.2 percent, at $730.30 an ounce on the COMEX division of the New York Mercantile Exchange Friday.

-- Australian shares opened lower on Monday, following a slide on Wall Street on continued fears of a deep recession. The S&P/ASX 200 index .AXJO was down 1.8 percent in early Monday trading.

-- Singapore closed for a holiday.

-- Gold's gains counter down trend in oil prices.

-- The average retail price for a gallon of gasoline in the United States plunged more steeply than ever over the last two weeks as the economic slowdown weighed on crude oil, according to the latest Lundberg survey released overnight.

-- The Australian dollar opened weaker against the U.S. dollar.