Gold hits record high


Gold hit record highs at $1,216.75 an ounce in Europe on Wednesday as investors bet on higher prices, with funds lengthening positions due to expectations of a fresh leg of dollar weakness and more central bank buying.

The metal also reached all-time highs in euro and sterling terms and a historic peak when priced in the Japanese yen, according to Reuters data, indicating independent gold strength.

Spot gold was bid at $1,211.05 an ounce at 1100 GMT, against $1,196.00 late in New York on Tuesday.

U.S. gold futures also hit a record at $1,218.40 an ounce. Gold for February delivery on the COMEX division of the New York Mercantile Exchange was later up $11.80 at $1,212.00.

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Strength in gold has lifted other precious metals.

Silver and palladium rallied to their strongest levels since July 2008. Spot silver was later bid at $19.16 an ounce against $19.07.

Palladium at $384.50 against $387.50.

Spot platinum rose as high as $1,493.50 an ounce, its highest since August last year. It was later at $1,480.50 an ounce against $1,478.50.

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Copper steadies near 14-month high

LONDON - Copper steadied just above $7,000 (U.S.) a tonne on Wednesday after earlier hitting 14-month highs on upbeat Chinese and U.S. data and as fears eased about Dubai's debt problems.

Copper for three-months delivery on the London Metal Exchange traded at $7,065 a tonne at 1054 GMT from a close of $7,075 on Tuesday.

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Other Metals

Aluminum, used in transport and packaging, was at $2,125 from $2,103.

Aluminum inventories fell 3,800 tonnes, but were still near record highs in the region of 4.6 million tonnes.

Option expiry takes place on Wednesday. There are more than 18,000 outstanding contracts to buy - far outweighing those to sell - around 450,000 tonnes of aluminum at prices between $2,000 and $2,150 a tonne.


Zinc was at $2,393 from $2,372.

Lead was at $2,474 from $2,468.


Tin traded at $15,225 from $15,200

Nickel was at $16,536 from $16,295.

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24 Hour Base Metals

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Gold & PGM Prices

Dec 2 2009 8:04AM NY Time dd Change Gold 1210.60 +1.22% Platinum 1485.00 +0.41% Palladium 387.00 +1.57% Rhodium 2600.00 -1.52%

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