Monday, July 18, 2011
Gold Rallies to Record in Best Run Since 1980
Bloomberg reports that gold surged to a record and is set for the best run of gains in more than three decades as U.S. politicians failed to reach agreement on raising the debt ceiling and Europe’s sovereign crisis lingered, boosting haven demand. Bullion in euros and pounds also rose to all-time highs.
Immediate-delivery gold gained as much as 0.3 percent to $1,598.60 an ounce, rising for an 11th consecutive session, the best run since the 11 days to July 8, 1980, according to Bloomberg data. Spot gold, which has rallied 12 percent this year, traded at $1,597.32 at 2:16 p.m. in Singapore.
President Obama is pressing congressional leaders for a multitrillion-dollar agreement in deficit-cutting talks as negotiators near an Aug. 2 deadline for raising the debt limit. Former Treasury Secretary Larry Summers told CNN a default would cause panic in the financial system, making the 2008 failure of Lehman Brothers Holdings Inc. “look like a very small event.”
“The situation in the euro area, as well as the proliferation of the debt-ceiling problem in the U.S., continues to be a very strong focus,” said Ben Westmore, a minerals and energy economist at National Australia Bank Ltd…..
Find out more at http://www.bloomberg.com/news/2011-07-18/gold-rallies-to-record-in-best-run-since-1980.html