Gold hits record high in International market

LONDON: Gold rose back above $1,060 on Tuesday as more investors overlooked a dollar rally and responded positively to news the International Monetary Fund sold 200 tonnes of gold to India’s central bank.

Spot gold was quoted at $1,062.00 an ounce, up from $1,059.15 quoted late in New York on Monday. Earlier on Tuesday, the metal hit a near two-week high of $1,066.15, within sight of the October 14 record high of $1,070.40.

“The IMF (news) is bullish but look at copper prices, look at the euro dollar, look at stock markets, it’s very impressive gold can actually rally given all other risky assets are falling,” said senior commodity strategist at Societe Generale Jesper Dannesboe.

The IMF said on Monday it had sold 200 tonnes of gold to India for $6.7 billion. Although an IMF gold sale had been flagged for some time, it lifted some uncertainty from the market by helping soak up supply.

US gold futures for December delivery rose $9.40 an ounce to $1,063.30 on the COMEX division of the New York Mercantile Exchange. Last month, futures hit a record $1,072 an ounce.