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Sax-Gold Ent



Wednesday, September 9, 2009

Gold price touches highest mark in 18 months, US$ down

NEW YORK: Gold pushed above the US$1,000 mark Tuesday for the first time since February as hopes for an improving economy fed a broader rally in commodities.

It had risen as high as $1,009.70, the first time it topped $1,000 since early this year and the highest level since mid-March last year.

Gold closed under $950 on Aug. 27.

December silver jumped 22.5 cents to $16.510 an ounce and hit a 13-month high of $16.860.

A weaker dollar also drove prices higher, analysts said.

The gains also came after the Group of 20 leading economies pledged at a weekend meeting in London to maintain higher levels of government spending and low interest rates to help the world's economies recover from recession.

Concerns that a recovery could spark inflationary pressures helped lift prices for gold, which investors often use as a hedge against inflation.

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