Gold tops $1,000
Gold is back. After a summer lull, gold's three week run has it topping a $1,000 per ounce, an 18-month high.
SPDR Gold Shares (GLD) is up over 6% in the past three weeks. The $34 billion fund tracks the price of gold bullion and carries an expense ratio of 0.40%.
The rise in gold coincides with a declining dollar which is at its lowest level of the year. Oil prices are also strengthing, with Nymex October crude up more than $3 a barrel.
According to a quote in the Wall Street Journal, Gijsbert Groenewegen, managing partner of Silver Arrow Capital Management, feels the focus is on the weak dollar. "I think it's more that people are looking for a safe haven and the ultimate currency, and gold is the ultimate currency," he said.
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