Gold trades near record high

Gold traded near a record on demand for a haven against turmoil in the global economy and financial markets.

Gold traded near a record on demand for a haven against turmoil in the global economy and financial markets.

Silver rallied to a 30-month high, while immediate-delivery gold climbed as much as 0.2 per cent to $1,270.60 an ounce before trading at $1,268.60 at 2:11 p.m. Tokyo time. The metal reached a record $1,274.95 yesterday.

Silver for immediate delivery gained as much as 0.3 per cent to $20.535 an ounce, extending this week's advance to the highest level since March 2008, before trading at $20.4862.

Gold is heading for a 10th consecutive annual advance and is up 16 per cent this year amid economic uncertainty. The yen retreated from a 15-year high versus the dollar as the Japanese government intervened for the first time since 2004 to weaken the currency.

The precious metal may climb toward $1,350 this year as investment demand exceeds jewelry use for a second year, some analysts suggested.

Platinum climbed as much as 0.7 per cent to $1,604.38 an ounce, the highest level since August 3, before trading at $1,591.25. The metal gained as much as 2.6 per cent yesterday. Palladium fell 1.1 per cent to $546.50 an ounce, reversing an earlier gain of 0.5 per cent to $555.25, the highest level since April 30. The metal gained 3.9 per cent yesterday.

Bloomberg