PRECIOUS-Gold rises along with equities, risk appetite up

* Gold snaps 4-day losing streak on higher risk appetite

* Bullion turns higher after falling in tandem with oil

* Gold/silver ratio drops below 38, lowest since 1983

* Coming up: U.S. weekly initial jobless claims Thursday (Rewrites, updates with comments, market activity, adds link to graphic)

By Frank Tang

NEW YORK, March 30 (Reuters) - Gold prices turned higher in choppy trade on Wednesday, snapping a four-session losing streak, as a broad resurgence of risk appetite prompted buying of bullion along with other assets ahead of Friday's U.S. jobs report.

Gold benefited from a weaker dollar against the euro after a top European Central Bank official said the ECB's interest rate hikes will be gradual, and world stocks rose more than 1 percent as strong hiring by U.S. private employers boosted both U.S. and European markets. [MKTS/GLOB]

"It seems that risk is flooding back in. It's finding its way back into precious metals and the stock markets, and that's driving the trade higher," said Zachary Oxman, managing director of TrendMax Futures.

Bullion was also boosted by buying ahead of the start of April and the second quarter, he said.

Gold is used as a safe haven in times of economic and political uncertainties, but its value also rises in prosperity as the price of bullion has almost sextupled from $250 an ounce in 2001.

Spot gold gained 0.4 percent to $1,422 an ounce by 3:33 p.m. EDT (1933 GMT), having earlier touched a high of $1,430. U.S. gold futures for April delivery settled up $7.60 at $1,423.80.

Earlier in the session, gold and oil fell sharply in tandem after data showed swelling crude inventories. However, both gold and crude futures were sharply off their lows.

(Graphic: http://link.reuters.com/wyr78r)

Gold futures traded on the New York Mercantile Exchange were again one of the most actively trading commodity markets, with volume topping 200,000 lots, one of the heaviest trading days year to date.

Bullion's failure to capitalize on record highs on recent strong volume suggested some investors are skeptical about the metal's investment appeal, analysts said.

"It (higher volume) is showing some of the money in gold has been taken out and moved to other assets," Fred Schoenstein, trader at Heraeus Precious Metals Management said. "Gold's been a great asset over the last year, but why would you stay in a trade that has performed so well and so long when there are other markets where you can make money?"

A Reuters poll showed that gold's decade-long rally, which took the metal to record $1,447.40 an ounce last week, looks set to plateau in the second quarter as more downside risks for bullion emerge. [ID:nLDE72T1AT]

(Graphic: http://r.reuters.com/ruq78r)

On charts, spot gold must close consecutively higher above its double-top resistance at $1,445 an ounce for a rise toward record $1,500 level, said Rick Bensginor, chief market analyst of Dahlman Rose.

(Graphic: http://link.reuters.com/hus78r)

GOLD/SILVER RATIO HITS 28-YEAR LOW

Silver climbed 0.7 percent to $37.33 an ounce, sending the gold/silver ratio to below 38, the lowest level since 1983.

(Graphic: http://link.reuters.com/bas78r)

Daniel Major, an analyst at RBS, said that the price of silver has been largely driven by technical and momentum trading rather than the fundamentals.

Industrial demand for silver is set to rise to 665.9 million ounces by 2015 from $487.4 million ounces last year, metals consultancy GFMS said in a report prepared in conjunction with the Silver Institute. [ID:nLDE72T0R6]

Gold has struggled to eke out fresh gains as financial markets digest hints from the euro zone and U.S. authorities they may be set to tighten historically loose monetary policy.

"Gold players are anxiously waiting for policy signals from the U.S. and to see what the ECB (European Central Bank) actually does next week in its monthly meeting," said Credit Agricole analyst Robin Bhar.

Investors also await Friday's U.S. nonfarm payrolls report, which could set the tone for the near-term direction of gold.

Platinum group metals rebounded after a recent sell-off as production at Japan's major auto plants are interrupted after the earthquake, tsunami and the subsequent nuclear crisis that hit the country nearly three weeks ago.

PGM sentiment improved after Nissan Motor Co Ltd <7201.T> said on Wednesday it would resume normal operations at all its Japanese plants except one by mid-April.

Platinum gained 2 percent to $1,768.50 an ounce, while palladium rose 0.3 percent to $750.72. Prices at 3:33 p.m. EDT (1933 GMT)

LAST/ NET PCT YTD

CLOSE CHG CHG CHG US gold 1423.80 7.60 0.5% 0.2% US silver 37.511 0.524 0.0% 21.2% US platinum 1774.10 30.00 1.7% -0.2% US palladium 758.10 5.15 0.7% -5.6% Gold 1422.00 6.05 0.4% 0.2% Silver 37.33 0.26 0.7% 21.0% Platinum 1768.50 34.05 2.0% 0.1% Palladium 750.72 2.44 0.3% -6.1% Gold Fix 1425.50 6.50 0.5% 1.1% Silver Fix 37.53 91.00 2.5% 22.5% Platinum Fix 1760.00 8.00 0.5% 1.7% Palladium Fix 757.00 1.00 0.1% -4.3% (Additional reporting by Jan Harvey in London; Editing by Marguerita Choy)