Gold prices climbed past $1,120 in a week

Gold prices continued to climb last week on bets that demand for the precious metal will remain strong against an extended backdrop of low interest rates.

December gold has posted gains in every New York trading session so far this month, up $74.20 from the closing level of $1,040.40 on Oct. 30.

Gold is moving higher yet again as the comments out of various U.S. Federal Reserve officials and other leaders are clear evidence that rate increases are a long way off indeed.

Gold for December delivery climbed as high as $1,122.30 an ounce on Globex by Thursday afternoon in Tokyo — a fresh record high for the contract. It was last up $7.20 at $1,121.80.
The contract finished at a record of $1,114.60, up $12.10, or 1%, on Wednesday at the New York Mercantile Exchange.

Looking ahead, gold is likely headed to $1,200 and has the potential for a violent move higher should China suddenly purchase IMF (International Monetary Fund) gold.