Gold exceeds $1,500 as record-breaking run continues

GOLD extended its record-breaking run yesterday to touch an all-time high above $1,500, driven by a long list of supportive factors including worries about European and US government debt levels, inflation and turmoil in the Middle East.

Gold traditionally benefits from a weaker dollar, times of political and economic uncertainty, and during periods of rising inflation.

“Events in the past few weeks have certainly ticked most of the boxes for strong gold prices. The outlook going forward depends on how long you think sovereign debt and inflation will remain a concern,” said Ben Westmore, commodities economist at National Australia Bank.