Gold price soars as investors play safe

Since August 2007, gold prices have experienced five times the growth compared to the 14 month period before the onset of the credit crunch. This included an all time high for gold of $1,012 per ounce in March; 59% above the five year average of $593 per ounce. Its price rose by 32% in 2007 which is the biggest annual gain in the past 28 years. UK inflation has nearly trebled since August 2007 from 1.8% to 5.2% in September 2008, increasing the popularity of gold, which is often viewed as the ultimate store of value, according to the research. However, gold prices have fallen back by ...