Gold Tops $1,018 on Continued Weak Dollar
Updated from 4:18 a.m. EDT
NEW YORK (
) -- Gold for December delivery was trading at $1,018.30 Wednesday after trading as high as $1,023.30 an ounce during the session on the back of the dollar's recent weakness.
The contract closed Tuesday above $1,000 for the third straight day, adding $5.20 to settle at $1,006.30 an ounce on the New York Mercantile Exchange. Gold has been rallying in recent days as the dollar falls against other major currencies. Gold is used as a hedge against a weak dollar and inflation.
Last week marked the first time a front-month contract on gold had traded above $1,000 in six months.
The euro touched a year high against the dollar Wednesday at $1.4695 from $1.4659 in New York on Tuesday. The euro recently was at $1.4676. The dollar fell to 90.29 Japanese yen from 91.10 yen.
-- Reported by Joseph Woelfel in New York
.
Follow TheStreet.com on
and become a fan on
Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.
