Tuesday, October 6, 2009

Gold Soars to Record High



By Eric Gursky

Gold surged to a record high Tuesday after a news report sparked widespread talk about the U.S. dollar being unseated as the currency for trading oil.

Crude finished slightly higher.

A report in Britain's daily newspaper The Independent said oil-exporting countries in the Middle East and big energy consumers such as China, Russia, Japan and France were working on a plan to end the practice of buying and selling crude in dollars.

Instead, the U.S. dollar would be replaced with a basket of currencies, including the Japanese yen, Chinese yuan, the euro and gold.

That helped gold prices surge $21.90 to settle at $1,039.70 an ounce, surpassing its previous record of $1,020.20 on Sept. 16. Gold also set a new intraday high of $1,045. The previous intraday record was $1,033.90 in March 2008.


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