Spot market: At the time of this post gold is trading at $1,252.30 and has been climbing for 5 straight weeks since it bottomed on July 28th when it closed around $1,161. It is approaching it all-time high of just over $1,261 on the London PM fix, set on June 28th.
In the futures market: Gold price for December delivery on the Comex division of the New York Mercantile Exchange is only .4% ($1,252.90) away from its all-time high of $1,258.30 set on June 18th.
A lot of investors are looking at the weak economic data that has been coming out in the real estate, manufacturing and equities markets and determining that they need a safe haven asset to hedge their investment dollars. This is all stemming from perceived weaknesses in fiat currencies worldwide. Everyone seems to feel that there exists an underlying sense of instability and vulnerability everywhere in the economy. As these feelings heat up gold will continue to see positive gains.
On top of weak economic data, the last four months of the year consistently bring gains. In fact in eight out of the last nine years gold has risen an average of 13.1% during the last few months of each year. This is due in part to the Indian Wedding season as jewelry demand for gold heats up. Look for this trend to continue as we enter the last quarter of the year.
Gold is also on track to close higher than last years close, which would make it ten years in a row. Gold only needs to close higher than $1,096.50 to continue this trend. As of right now it looks like this is likely.