Gold Rises to 22-Year High in Asia on Dollar, Investment Demand

Nov. 29 (Bloomberg) — Gold rose above $500 an ounce for the first time since February 1983 as a weaker dollar and accelerating inflation fueled demand for bullion as an alternative investment.

The dollar fell more than 1 percent against the euro yesterday after U.S. home sales in October declined more than analysts expected. Spot gold has jumped 15 percent this year, outperforming the Dow Jones Industrial Average and the 10-year Treasury note. Bullion may rise to $525 in the next month or so, said Ron Cameron, a metals analyst at Ord Minnett Ltd. in Sydney.

Bloomberg