Dollar slide is boost for gold price
12 April 2012
GOLD hit a two-year high today as investors piled into the safe-haven asset amid jitters over a weakening dollar and Middle East tension. Spot gold started trading in London at $311.5 (£214) a troy ounce, its highest open since February 2000, and has risen 18% over the past year.
A weaker greenback makes dollar-denominated gold cheaper for foreign buyers and discourages producers from selling. The US currency fell slightly to 1.4585 against sterling and 90.15 cents versus the euro.
