Another day, another record for gold.
The precious metal, which has been on a multi-year tear, closed above $1,200 an ounce for the first time on Wednesday.
Gold futures gained $12.90, or 1.1%, to settle at $1,212.
A big reason why gold has risen in recent years has been the weakening dollar. Though the dollar did not fall today (surprise, surprise), speculative buying remains at record levels.
Marketwatch.com:
“While there is certainly an end to the party, we remain of the belief that the end of the secular bull market in gold will not be occurring any time soon,” said Dan Greenhaus, chief economic strategist at Miller Tabak Co. “As central banks continue to reduce their exposure to the dollar through diversification, gold stands benefit over time.”
And certainly, low interest rates are spurring many investors to reject cash in favor of other investments that may pay off far more handsomely.
The SPDR Gold Shares ETF (GLD) gained $1.72, or 1.47%, to close at $119.10 after reaching an all-time high of $119.27 earlier in the session.
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