Gold Prices Soar

September 28, 1999

Gold Prices Soar

Gold prices rose to $300 an ounce in London and New York City today, the highest mark in almost a year.

The rise was spurred by Sunday's unexpected announcement by 15 European central banks that they would limit annual sales to 400 tons in the next five years. The announcement came at the annual meeting of the International Monetary Fund, held this year in Washington, DC.

The news was greeted with relief by the World Gold Council. WGC told the Financial Times the central bank decision "will reduce dramatically the scope for rumor and speculation that has been such a damaging feature of the gold market in recent years."

Gold prices last rose to the $300 an ounce level in October 1998, and hit 20-year lows over this past summer.

- by Liz Smutko