The price of gold set a record high for a second straight day Wednesday as investors looked for an alternative to a weakening U.S. dollar.
Various unsettling events in the world in the last few months - such as the political unrest in the Middle East and then the earthquake and tsunami in Japan - have pushed some investors to look for what they view as a secure commodity. Increasingly, they have bought gold.
The price edged just above the $1,500 mark Tuesday, after the Standard & Poor's financial services firm lowered its economic outlook for the United States from "stable" to "negative" on fears that the country's leaders will not be able to reach a deal to rein in the growing U.S. governmental debt. Wednesday, the price of gold topped $1,505 an ounce.
Some analysts say the price of gold could increase further. Investors also have bought another much cheaper precious metal - silver. It has risen to more than $44 an ounce - a 31-year high.
Some information for this report was provided by AFP and Reuters.
