Daily Gold Update

Source: Marketwatch

New York— Gold futures surged to finish at a record closing high of $837.50 an ounce on Thursday, topping the previous session's record by $4. The yellow metal was boosted by the dollar's fall against major rivals after Federal Reserve Chairman Ben Bernanke said that the weaker dollar is a key inflation risk. Gold for December delivery finished up $4 at $837.50 an ounce on the New York Mercantile Exchange. The previous record close was $833.50, set on Wednesday. The all-time high for a gold contract is still $875, set on Jan. 21, 1980.

"Bernanke's remarks were not clear in their support for the diminishing U.S. dollar," said Peter Spina, an analyst at GoldSeek.com. "Integrity in our financial institutions and the U.S. dollar are falling quickly. Restoring confidence is very difficult to undertake with current circumstances, and the result is greater interest in real money. Gold's integrity does not need to be questioned, and that brings a level of confidence the U.S. dollar simply cannot produce as it loses its global appeal," Spina said in emailed comments. See full story.