Gold futures surged above $750 an ounce and other precious metals likewise rallied early in New York Friday, boosted by the dollar's drop to record lows against the euro and major currencies.
"It's all on the US dollar, which is getting crushed, popping up the metals here," said Joseph Guzzardi of Sabin Commodities, a Comex floor trader. He also cited strong crude oil prices.
At 10:38 am EDT (1438 GMT), most-active December gold on the Comex division of the New York Mercantile Exchange was up $12.20 or 1.6 percent at $752.10. It rose from $740 in overnight screen trade to $752.80 which marked a fresh 28-year high.
US crude oil extended gains after surging more than 3 percent to above $83 per barrel on Thursday, with London Brent crude also trading near its record high.
George Gero, vice president of RBC Capital Markets Global Futures, said record open interest and buying on the last day of the third quarter boosted gold futures. "The momentum players are here today" amid higher volume and the firmer close of Thursday, Gero said.
Gold bullion was at $743.30/4.10, up from the New York close at $733.80/4.60. London bullion dealers fixed the afternoon spot reference price at $743.
NYMEX January platinum was up $23 or 1.7 percent at $1,396.50 an ounce after reaching a contract high of $1,396.90. Spot platinum was quoted at $1,377/1,382. December palladium was $1.60 higher at $349.35 an ounce. Spot palladium was quoted at $344.00/348.00.
Comex December silver jumped 28.9 cents or 2.1 percent to $13.935 an ounce, trading between $13.625 and $13.950. Spot silver rose to $13.78/83 from $13.50/55 at the close. London silver was fixed at $13.65 per ounce.