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Price of gold at record high

The price of gold is at a record high as confidence in dollar falls.

The price of gold has reached a record high of over $1,900 an ounce.

As confidence in the dollar, pound sterling, and euro collapses, gold - seen as a safe investment - is increasing in value. The depreciation of the dollar and the downgrading of the US credit rating from AAA have been noted by analysts as causes for the rising price of gold.

Gordon Brown, then Chancellor of the Exchequer, sold off 60 per cent of the UK's gold reserves at $275 per ounce between 1999 and 2002, raising $3.5 billion.

With the price of gold skyrocketing, the 395 tonnes of gold Brown sold would now be worth $19 billion.