Gold Hits New Record Over Euro Debt Worries

Worries that the questions regarding the Irish Republic’s solvency and the health of the Eurozone in general has investors rushing back to gold. Gold prices have risen 7 percent since last weeks announcement by the Federal Reserve that it would commit another $600 billion to stimulus spending pushing gold to a nee w record of $1,421 an ounce.
“With record highs set in quick succession, the gold market is swimming in uncharted waters,” said Ong Yi Ling of Phillip Futures in Singapore. “The asset purchases of the US and debt problems in the eurozone provide a compelling backdrop for gold prices to continue appreciating on a longer term basis.”

Source: BBC News

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