Gold prices leapt ahead again today as investors continued to worry about the return of inflation and economic uncertainties.
The spot gold price was a whisker away from the $1,150-mark by mid-morning, rising 6c to $1,148 per ounce.
The view that the dollar will remain weak is a key support that is helping gold stay above $1,130 per ounce, analysts say.
Gold is seen as a hedge against inflation, which erodes the value of paper assets.
The precious metal also inched up yesterday as worries about long-term inflation more than offset a stronger dollar.
Last week, the International Monetary Fund said it sold two tonnes of gold to the central bank of Mauritius and 200 tonnes of gold to India early in November, a factor that drove gold prices to record highs above $1,100.
Some countries appear keen to stockpile gold in reserves as an alternative to the dollar.
The price of gold has now surged by more than 11% in the past two-and-a-half weeks, with some experts predicting even further gains ahead.
Earlier this week, Tom Kendall, precious metals strategist at Mitsubishi Corp, told Reuters: 'There is no reason why over the next few days it can't have a push towards that $1,200 mark.'
