Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures rose Wednesday to their eleventh record close of the month, as the dollar dropped on expectations the Federal Reserve will keep money flowing to revive the economy. Gold for December delivery, the most active contract, rose $2, or 0.2%, to $1,310.30 an ounce on the Comex division of the New York Mercantile Exchange. It hit a record at $1,314.80 an ounce intraday. Silver futures held firm at the metal�s best level in 30 years and copper also kept gains to settle at its highest since late July, 2008

Gold�s settlement Wednesday was the eleventh record high settlement for gold this month — six of those consecutive. So far in September, gold has advanced 4.8%, and added nearly 20% for the year.Its most recent spurt has been supported by expectations that the Federal Reserve would enter into a new round of monetary stimulus by buying bonds in the private sector — about $1 trillion by some estimates — in a process known as quantitative easing. While this policy should stimulate the economy, it may do so at the expense of the dollar�s value, making a currency alternative like gold attractive. �The dollar is lower again today and there�s a lot of money out there chasing the safe-havens of gold and silver,� said Michael K. Smith, president of T & K Futures in Florida. See full story.