Reply #14: Record-High Gold Tells of "Inflation & Sovereign Debt" Threat, Gold Buying Now "Exceptionally Strong

[Demeter]

http://goldnews.bullionvault.com/gold_buying_051220101

The price of Gold jumped to new all-time highs against all-but-three of the world's major currencies on Wednesday morning, breaking US$1245 an ounce in London trade.

German and US government bonds slipped as world stock markets rallied together with crude oil and base metals.

British gilts rose further however – and the Pound jumped towards a 17-month high in terms of the Euro – as further details of the UK's new Conservative-led coalition government were announced.

Gold priced against the European Euro broke above €980 an ounce (€31,500 per kilo), extended its 2010 gains to 28%.

"Spot Gold in Euros is getting ever closer to the €1000 mark," says Axel Rudolph at Commerzbank in Luxembourg.

"We remain long-term bullish as long as the Gold Price in Euros trades above the March low at €800.42 an ounce."

"The <€750bn> super-financing plan launched by the European Union to save countries in distress has not produced the hoped-for results," says Filippo Finocchi from the trading desk at bullion dealer Italpreziosi in Arezzo, Italy...