Gold hits new record high

Gold prices rose to a new record high today (August 18th), reaching more than $1,800 (£1,094) per ounce.

This afternoon, bullion shot to a peak of $1,817.90 a troy ounce, which was an increase of 1.9 per cent on the day, the Financial Times reported.

"The gold market is telling us that we are potentially heading towards a second and perhaps more damaging economic crisis," warned Ross Norman of Sharps Pixley, in news which may be of interest to those spread betting on shares.

Since the beginning of the third quarter, gold prices have risen 20 per cent. During April and May, trading was between $1,427 and $1,576.

A surge in buying seems to be as a result of a host of worldwide problems affecting financial trading, including the US debt situation and issues in the eurozone, the news provider suggested.

Overall, the FTSE 100 today saw a fall, with the share index dropping down below 5,100 throughout the course of the day.