Commodities: Gold hits 28 year high
Continued weakness of the US dollar propelled gold futures to their highest level for 28 years, with the contract for February delivery hitting an intra-day high of $872 before easing to close $9.10 higher at $869.10.
Political tensions in Pakistan also increased the appeal of the yellow metal as a safe haven for investors' funds.
Turning to other metals, silver and copper also tended firmer but platinum and palladium prices turned lower.
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The seemingly inexorable rise in the price of crude oil came to an end today in a volatile session, as fears over an economic recession outweighed reports that showed US crude inventories fell more than expected.
At one stage the price for crude for February delivery burst through the $100 barrier for the second day in succession but eased later to close just above $99.
Figures from the US Energy Information Administration showed US crude inventories fell by 4m barrels to 289.6m barrels in the week ended December 28, the lowest in three years, and the seventh successive weekly fall. Analysts had been expecting a fall of just 1.8m barrels.
