Monday, November 23, 2009

Gold Strikes Another Record High On Inflation And Economic Woes

Gold defied a rebound in the dollar on Monday and powered to a record on safe-haven buying, driven by growing worries about inflation and a drop in U.S. stocks that stirred doubt about the economic outlook. Bullion, which has gained around 32 percent so far in 2009, struck a succession of lifetime highs in November as sentiment turned extremely bullish after India acquired 200 tons of the precious metal from the International Monetary Fund. 'You've got more high profile hedge funds visibly investing in gold. That's yet another factor encouraging moves into gold by the wider investor community,' said David Barclay, commodity strategist at Standard Chartered in Hong Kong. Gold is trading at $1,166 as of 8:36am, GMT with a bullish trend. Gold's Pool-position is 87% Long, meaning that most Finotec clients are buying the precious metal.

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