|ORO Y PLATA INTERNACIONAL S.A.
Gold closes at record high
The precious metal bounce back from an early bout of
weakness as the dollar depreciates against other
NEW YORK (CNNMoney.com) 13/11/09. Gold prices rose Friday to a
record high, recovering from earlier losses, as the U.S. dollar weakened
against rival currencies.
December gold rose $10.10 and settled at a record $1,116.70 an ounce
after hitting a low of $1,105.00 earlier in the session. Gold fell Thursday to
settle at $1,106.60 an ounce.
Gold prices have rallied to a series of record highs this week, hitting an
all-time trading high of $1,123.40 early Thursday. Analysts said gold could
continue to push higher if prices close above $1,100 on Friday.
The dollar succumbed to selling pressure at midday Friday after firming in
early currency trading. The dollar index, which measures the currency's
value against a basket of rivals, was down 0.3% to 75.33.
A softer greenback makes gold, which is priced in dollars around the
world, cheaper for buyers using stronger currencies. The weak dollar has
also raised expectations that overseas central banks will move to increase
their gold holdings as an alternative to the U.S. currency.
Given the bleak outlook for the dollar, many analysts expect gold to
continue rising into next year, albeit at a slower pace.
"We believe the outlook for gold prices remains bullish," analysts at
Deutsche Bank wrote in a research report. "However, the speed of the
appreciation over the past few weeks may be difficult to sustain without a
further weakening in the U.S. dollar." To top of page