Gold rocketed to almost $1,570 an ounce on Friday, setting a new dollar-price record as its unabated rise was propelled by extremely low interest rates and the dollar’s weakness. With London trading shut down for the royal wedding, in afternoon New York trade gold struck $1,569.32 an ounce before sliding back to around $1,565. Just nine days ago it passed the once-unimagined level of $1,500.
“Gold is again profiting from the soft US dollar and has (struck) an all-time high for the third consecutive day,” said analysts at Commerzbank.
“The fact that the rise of the gold price is largely driven by the US dollar currently is also reflected in the movements of the price in euros, … trading nearly unchanged,” they added. The metal has nearly doubled in price since late 2008 and has risen almost without interruption from just below $300 in 2001.