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Gold price climbs after four days of heavy losses

GOLD yesterday regained some of the heavy losses it experienced this week. The precious metal fell by $176 earlier in the week after it put in four consecutive days of losses.

Yesterday, the gold price climbed $25.20 to $1,592 per ounce after trading as high as $1,601 per ounce early yesterday morning.

Bargain hunters stepped in to take advantage of the $176 correction in the price of gold that has occurred in the month of December.

Weakness in the US dollar against the euro helped boost precious metals and the rest of the commodities complex.

Silver advanced nearly 2pc to $29.74 per ounce while copper climbed 2.7pc to $3.35 per pound.

Analyst with Global Hunter Securities Jeffrey Wright attributed this week's gold price sell-off to a combination of investors raising cash due to European sovereign debt turmoil and thin trading volumes ahead of the holiday season.

Gold, which is up 12pc this year, reached a record $1,923.70 in September as investors sought to diversify away from equities and some currencies amid eurozone concerns.

Irish Independent