Looming concerns over the global economy and weaker tone in the global equity markets attracted safe haven investment in the yellow metal. This pushed gold prices to the upside to an all time high as the dollar tumbled and crude oil held near an all time high. The gold at this hour reached a high of $985.00 an ounce after it opened today's session at $976.25 an ounce.
Not only did the yellow metal successfully attract new funds, especially from oil countries, the dollar also fell to a record low against major currencies on growing signs that the US economy is slipping into a recession.
Oil also reached an all time high supported by supply disruptions in Nigeria and news that Ecuador shut a key export pipeline because of a landslide. On Friday, oil prices slightly fell due to profit taking to record a low of 101.45 yet today oil is trading within $102.00 level mark
The US dollar crashed across the board last week, following an accumulation of bad economic indicator as well as comments by bernanke which signaled that the Feds is likely to cut interest rates further next month.
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