Gold Breaks Above $1,600
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Gold rose above $1,600 per ounce Monday, a new record, amid continued debt concerns in the Eurozone and uncertainty about the U.S. debt ceiling.
August futures on the precious metal last traded at $1,603 on COMEX, up $12.90 on the session with a day range of $1,591.40 to $1,603.80.
With the August 2nd debt ceiling deadline fast approaching, President Obama and congressional leaders have yet to reach an agreement on a multi-trillion dollar deficit cutting package. The dire situation has led both Moody's and S&P to place the U.S. AAA credit rating on watch for a downgrade -- an event which could be sparked by any missed payment.
In Europe, the PIIGS (Portugal, Ireland, Italy, Greece, and Spain) countries continue to struggle with austerity measures and rising debt concerns.
Gold is up 13 percent on the year and has seen a strong rise since the recession started. Speculators view the easy money policies of the U.S. Federal Reserve and central banks around the world as devaluing currencies and thus driving the value of gold.
August futures on the precious metal last traded at $1,603 on COMEX, up $12.90 on the session with a day range of $1,591.40 to $1,603.80.
With the August 2nd debt ceiling deadline fast approaching, President Obama and congressional leaders have yet to reach an agreement on a multi-trillion dollar deficit cutting package. The dire situation has led both Moody's and S&P to place the U.S. AAA credit rating on watch for a downgrade -- an event which could be sparked by any missed payment.
In Europe, the PIIGS (Portugal, Ireland, Italy, Greece, and Spain) countries continue to struggle with austerity measures and rising debt concerns.
Gold is up 13 percent on the year and has seen a strong rise since the recession started. Speculators view the easy money policies of the U.S. Federal Reserve and central banks around the world as devaluing currencies and thus driving the value of gold.
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