Wednesday, July 20, 2011
Gold Approaches the thousand dollars an ounce as the Dollar continues to fall
9:36 AM | 
Posted by
bayan |
Gold surges to near record territory
THE METAL GAINS GROUND AS THE DOLLAR SLUMPS AND INVESTORS BET INFLATION WILL REBOUND. ANALYSTS SEE $1,000 AN OUNCE ON THE HORIZON.
NEW YORK (CNNMoney.com) -- Gold prices charged higher Thursday, with another run at $1,000 an ounce looking increasingly likely, as the dollar remains weak and concerns about inflation boost demand for the metal.
Gold for August delivery rose $16.70 to settle at $982.30 an ounce after hitting an intra day high of $992.10 an ounce earlier this week.
The metal is up 11% from its mid April low of $869.50 an ounce as the U.S. dollar has tumbled against rival currencies. Gold and other commodities that are priced in dollars often gain ground when the greenback weakens.
The recent run up has raised bets that gold could top $1,000 an ounce for the third time ever. Gold rose to an all-time settlement high of $1,003.20 an ounce last year. It made another big push early this year, closing at $1001.80 an ounce Feb. 20.
In both cases, jittery investors flocked to the metal to preserve capital as the financial markets erupted in volatility.
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