Gold shines at new record high above $866
Gold struck a new all-time peak above 866 dollars on Thursday as the precious metal benefited from its safe haven status amid record high oil prices, a struggling dollar and tensions in Pakistan.
The price of gold reached an historic 866.53 dollars an ounce on the London Bullion Market. It later slipped back slightly to stand at 865.76 dollars.
"The main reason for the increase was that the oil prices have breached the 100-dollar mark. This, and a weakening dollar, has driven gold prices higher," said Gary Yue, a gold dealer at Delta Asia Financial Group.
"Investors are worried about the oil prices and the weak dollar. When the situation is unstable, they invest their money elsewhere and this has boosted buying interest in gold," he said.
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