Gold Strikes New Record

Futures approach $880 an ounce in New York.
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Gold futures were soaring to a record high in New York Tuesday, climbing one point to nearly $880 an ounce as inflation-wary investors rushed to find protection in the metal.

Recently, February-dated gold contracts were at $876.30, up $14.30 on the session.

Stocks were benefitting from the jump, and the Amex Gold Bugs Index was up nearly 6%. All 15 components of the subgroup tracker were in the green.

The best individual names were

Gold Fields

(GFI) - Get Report

, up 7.7%,

Kinross Gold

(KGC) - Get Report

, gaining 9.6%, and

Iamgold

(IAG) - Get Report

, surging 7.2%.

Also climbing were

Yamana Gold

(AUY) - Get Report

, better by 6.5%, and

Barrick Gold

(ABX)

, advancing 6.1%.

Coeur d'Alene

(CDE) - Get Report

and

Newmont

(NEM) - Get Report

were adding 6% or more.

Contributing to the latest rise were a rebound in oil prices and another drop in the U.S. dollar. Crude was up $2.01 at $97.10 a barrel, while the dollar slipped against its major competitors, with the exception of the Japanese yen.

The euro was at $1.4710, up from $1.4692 in the last session, and the pound was increasing to $1.9749 from $1.9695. The Australian dollar was the big winner, gaining 1.5% on the U.S. currency to 88.16 cents from 86.87 cents previously.

Elsewhere among metals, silver was surging 37 cents to $15.66 an ounce. Copper was tacking on 11 cents to $3.25 a pound.