Gold advanced today, thanks to the weaker dollar and rampaging oil. Despite the bullish enthusiasm toward the precious commodity, at least 1 analyst cautioned that the market is becoming increasingly vulnerable to profit taking. Make sure to keep an eye on the direction that the oil takes and the strength of the dollar, which could gain a bit of strength from the Group of Seven meeting that starts this afternoon. December-dated gold added $6.40 to close the day at $768.70 an ounce. December silver added 5.3 cents, closing at $13.803. January platinum added more than $9 to $1,447.60 an ounce, backing off a bit from the life-of-the-contract high of $1.449.90. The metal was pushed higher by safety concerns and supply disruptions in the South African mining sector. The world's largest platinum producer shut down one of its shafts after a worker was killed in an accident.
Over in the oil patch, crude futures finished the day at yet another record level. The front-month contract closed the day at $89.47 per barrel, more than $2 higher. The intraday high for the commodity stands at $89.78, another all-time high. The major drivers for the higher prices were a weaker dollar and concerns over the possibility of disruptions thanks to Iraqi oil production (totally ignoring yesterday's report that stockpiles are currently higher than a year ago). Earlier in the day, Turkish parliament authorized military incursions to hunt down Kurdish rebels.