Gold Gains a Strong Footing as Economic Concerns Grow

The price of gold has been seeing a continuous losing streak over the last couple weeks with small to barely any noticeable gains. As we entered into February, gold has delivered with a significant $1,374 per ounce.

The reason for this increase in precious metals is due to Europe’s worsening debt and troubling economic conditions in the US. Carlos Sanchez of the CPM Group in New York states that, “Financial, economic and political concerns continue to be supportive of gold.”

The dollar index, which is compared to 6 other currencies, found itself in a continuous loss with today reaching 80.88, a -.16% change from its close of 81.01.

Speculation that Portugal is preparing an international monetary fund bailout had weakened the euro.

http://www.marketwatch.com/story/gold-declines-modestly-on-rising-dollar-2011-01-10