Rumors that oil producing nations are considering dropping the dollar as the main trading currency for petroleum is pounding the dollar and driving up the price of gold. Gold can never be used as a medium for international trade. There isn't enough of it but it benefits from the rumors anyway. In London trading Tuesday, the yellow metal broke the $1030 an ounce price barrier. This is just below its March '08 historic highs.
I don't know if gold is poised for a breakout but it may be establishing a new, historically high, trading range. I'd be satisfied with that. For now.
Let's see how it does later, in New York.