Gold and Silver Continue to Rise as Investors Look for Safe Plays

Gold and Silver have been the popular investments ofsaid Bernard Sin, head of currency and metal trading
late with both of them hitting record price levels notat bullion refiner MKS Finance SA in Geneva. Recent
seen in more than 30 years. Investors are wary of"data has been showing signs of a troubled economy.
speculative investments and tired of so muchThat's why we've seen this huge buying for investors
uncertainty in the markets, so they go with tangibleas a safe haven."
investments like precious metals and oil. This trend hasImmediate-delivery bullion added as much as $5.90, or
had positive effects on SmallCap companies as well in0.5 percent, to $1,298.35 an ounce and traded at
this industry, and even exploratory companies with no$1,296.95 at 9:32 a.m. in London. Gold for December
current production have welcomed all the newdelivery was 0.2 percent higher after reaching
investors of late thanks to this swing.$1,299.70 an ounce on the Comex in New York.
Gold climbed to a record in London and New York asSilver for immediate delivery in London climbed as
investors sought a protection of wealth and anmuch as 1.2 percent to $21.3875 an ounce, the highest
alternative to a weakening dollar. Silver rose to theprice since October 1980.
highest price since 1980 in London.Gold, up 18 percent this year, is heading for its 10th
The dollar headed for a weekly drop against the euroconsecutive annual gain, the longest winning streak
on concern the Federal Reserve is moving closer tosince at least 1920. Bullion has outperformed global
boosting debt purchases, while European equitiesequities, Treasuries and most industrial metals,
declined. The metal, which usually moves inversely toprompting record investments in gold-backed
the greenback, advanced to a record for the fourthexchange-traded products. The metal rallied as central
day this week. Silver, also used in industrial applications,banks and governments maintained low borrowing
headed for a fifth weekly advance.costs and spent trillions of dollars to stimulate their
"Gold is showing there is no confidence in the dollar,"economies.