Commodities
Gold Tops $2,500 for First Time on Outlook for Lower Rates
- Bullion has rallied more than 20% this year to a record high
- Investors are focusing on path for US interest rates
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Gold topped $2,500 an ounce for the first time, bolstered by hopes the US Federal Reserve is edging closer to cutting interest rates.
Spot bullion climbed as much as 2.2% Friday, exceeding the previous record set last month, as a disappointing reading on the US housing market reinforced expectations of fast and deeper cuts by the Fed. Lower rates generally are positive for gold as it pays no interest.