Gold rebounded on Monday after a report showed that U.S. manufacturing expanded at the slowest rate in eight months in January, disappointing economists. U.S. stock exchanges sold off on the news, strengthening the metal’s safe haven appeal.

The Institute for Supply Management (ISM) said that its factory index dropped from a reading of 56.5 in December to 51.3 last month. The decline surprised economists who had forecast the index to shrink slightly to a reading of 56.

Gold futures for April delivery surged 1.6% to $1,259.90 per ounce on Monday, according to CME Group. Gold traded as high as $1,266.10 and as low as $1,240.40. Bullion closed in London at $1,258, according to BullionVault.

Silver futures for March delivery climbed 1.5 to $19.41 per ounce. Monday’s high for silver was $19.62, while the low was $19.06.

Metal funds advanced on Monday.

• The SPDR Gold Shares (GLD) gained 1.1%.
• The iShares Gold Trust (IAU) added 1.1%.
• The iShares Silver Trust (SLV) increased 0.9%.

Mining ETFs faded during the day.

• The Market Vectors Gold Miners ETF (GDX) slipped 0.7%.
• The Market Vectors Junior Gold Miners ETF (GDXJ) was flat.
• The Global X Silver Miners ETF (SIL) dipped 0.4%.

Gold stocks were mixed on Monday.

• Agnico-Eagle Mines (AEM) rose 1.9%.
• Barrick Gold (ABX) edged up 0.1%.
• Eldorado Gold (EGO) slipped 0.6%.
• Goldcorp (GG) faded 0.7%.
• Kinross Gold (KGC) fell 0.7%.
• Newmont Mining (NEM) sank 2.7%.
• NovaGold Resources (NG) gained 2.4%.
• Yamana Gold (AUY) slumped 1.4%.

Silver mining shares mostly pulled back during the day.

• Coeur d’Alene Mines (CDE) slid 1%.
• Hecla Mining (HL) rose 1.3%.
• Pan American Silver (PAAS) fell 1.6%.
• Silver Wheaton (SLW) sank 0.7%.
• Silver Standard Resources (SSRI) declined 1.8%.

As of this writing, Christopher Freeburn did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault contributed to this report.