Gold hits another record high

By Staff Writer
Gold reached a record high of $1 235.50 an ounce in Honk Kong on Wednesday as investors continue to look for a safe haven while everyone's concerns over the eurozone debt crisis continues to escalate.

When the markets closed in Asia, the precious metal was trading at $1 209.00 an ounce but later went as high as $1 224.82 an ounce on the European market.

Analysts reckon gold will remain as a safe haven while other markets continue fluctuate and remain vulnerable.

It opened at $1 229.00, just up from a previous record of $1 226.56 for the metal set on December 3 last year.

"The response of the central banks and the IMF to the southern European mess is almost guaranteed to ensure continued volatility in world markets," said Capital Spreads analyst Simon Denham.

Gold's main drivers are jewellery and people looking to invest in gold and the precious metal hit record highs last year following inflationary fears and moves by central banks to diversify assets away from the dollar.

Escalating concerns about the situation in Greece have also added to people investing in gold.

"This resilient performance... is perhaps telling of the scepticism markets still have over the execution of the plans and the tough fiscal challenges that will face some euro area economies," added Barclays Capital analyst Yingxi Yu.
"While markets remain jittery over the effectiveness of the plans, gold is likely to perform relatively well."

Recent Articles

Featured Register your customary marriage or lose the right to inherit estate

December is that time of the year when we will see at least one suitor sending his uncles to negotiate the price of his future wife. Lobola, as the bride price is known, has always been an important element of the African marriage.

Read more

Changing from one medical scheme to another - effortlessly

It is coming up to the end of the year and you might be looking to change medical schemes, or options within a scheme in preparation for the new year. While you don’t necessarily have to wait for year-end to do so, providers often recommend it.

Read more

Your guide to financially surviving Christmas

There are a few times each year where you need to dig deeper into your pocket and spend more money such as birthdays, anniversaries, and the Christmas period. Whether you celebrate this religious holiday or not, the festive period - depending on how you choose to spend it - means increased travelling, buying of gifts, entertaining, and eating out at restaurants.


Read more

Trump, Trump and a little bit of South Africa

What a November we had, with the rand staging one of its best months and closing below the R14.00 level. To be honest, this looked like quite a far-fetched possibility at one stage during the month. It seems that the tide has changed a little, even though it might be short lived since the US dollar bulls are not so sure of their case anymore.

Read more

Sign Up

To our weekly newsletter for advice you can bank on

Deals

Free iCollege Scholarship

Price: R600
When: Until 16 May 2019
Where: Nationwide

Telkom December Big Deal

Price: R459 pm
When: Until 31 December
Where: Nationwide

Money Savvy Kids Giveaway

Price: R450
When: 8 December
Where: Johannesburg (Milpark)