U.S. gold settles at $1,096.20, up 23 percent for 2009

NEW YORK (Reuters) - Gold futures posted their biggest yearly gain in three decades on Thursday, rising for an unprecedented ninth consecutive year as dollar-hedging traders and central banks joined the rally even as safe-haven buying subsided.

Benchmark U.S. February gold futures settled at $1,096.20 an ounce on the COMEX division of the NYMEX. On a percentage basis, February gold rose 23 percent compared with $891.90 on December 31, 2008 -- short of 2007's rise of about 30 percent.

Gold hit a record high above $1,220 on December 3 on a combination of renewed central bank interest, worries over paper currency depreciation and long-term inflation fears due to the massive economic stimulus programs.

Other precious metals staged equally impressive gains after last year's deep decline, with most active April platinum rising a record 56 percent and March palladium up 117 percent on improving economic conditions, as well as hope for a boost in physical demand from new U.S. exchange traded funds expected to launch soon. Silver jumped 48.5 percent.

(Reporting by Frank Tang; Editing by David Gregorio)