Gold Price Per Ounce hits Near Record of $1,150 oz

Today gold prices hit a record high of $1,147.45. This coincides with a weakening of the U.S dollar with the news from the Federal Reserve that interest rates may not rise again until 2012.  Major concerns with a sluggish U.S recovery combined with possible inlation is providing support for gold.

“I think what we’re seeing is gold is surprising most people in the market. It’s rising faster than the dollar is falling, so it’s got its own drivers now,” said Rebecca Patterson, head of global foreign exchange and commodities at J.P. Morgan Private Bank.

An additional factor that helped fuel gold prices today was the news that John Paulson an influential hedge fund manger  is using 250 million of his own capital to launch a new gold fund.