The precious metal has hit yet another historic peak - well above $1,000 an ounce. The driving force is the dollar's plunge to record lows due to weak US economic data and deepening financial market troubles there.
Trader Ray Carbone said investors are flocking to gold and other commodities because of uncertainties in the stock markets: "Money is searching for a greater return. As the dollar gets weaker, money will plow into gold and that is what you see going on today and you've seen it going on for the last few weeks and that's why we have a record gold price."
In 1970 an ounce of gold cost $35. By 1980 it was $871. Prices slumped just before the turn of the century but on Friday hit $1,007.
The Federal Reserve's next meeting could boost gold further as the Fed is widely believed to be considering reducing interest rates again. Another rate cut could hit the dollar's value, making gold an even better investment.
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