Gold price hits all-time high

An ounce of gold now costs an all time high of $1,043.77 after a dip in the dollar boosted the attractiveness of metals to investors.

Fears of higher inflation in the US as the country's economy picks up has contributed to the drop in the price of the dollar, adding to the appeal of gold. The last time the spot price of gold hit a new high was in March 2008, when it reached $1,032.80 an ounce. The price of gold has the potential to rise still further towards the last quarter of 2009 if the dollar remains weak, say analysts. October to December is usually a strong period for the price of gold anyway, linked to an increase in demand for jewellery in the run-up to the holiday season. "We believe it should continue t...