The precious metal rose today thanks to the weakened dollar that lost ground against the majors and to the crude prices that inclined due to hurricane Ike. So far, gold recorded a high of $814.50 an ounce having a trend heading to the upside and a strong support at $811.44 an ounce. Consequently gold has regained its task of a hedge against inflation and against a weakened dollar having its appeal boosted back up in the market beside investors since the green currency has lost strength and power.

In the meanwhile, following Hurricane Gustav that was a threat last week, now there's a new threat born with Hurricane Ike that is highly expected as the other one to hit the region of the Gulf of Mexico, the area that produces about 40% of the U.S oil, delaying the restore in any operations in that area. Consequently crude prices climbed up as the crude production are slowed down and even stopped due to the threat of this natural disaster. Actually so far crude prices recorded a high of $109.12 a barrel and a low of $107.71 a barrel having the contract gain by $1.93 a barrel, an incline that backed up gold prices of course.

Now, stocks fell as well as the green currency as the two biggest mortgage companies, Fannie Mae and Freddie Mac, are having their dividends eliminated being placed in a governmental conservational plan as to cure the financial crisis as it is highly  believed by the US treasury secretary Henry Paulson. The government take over plan is to hopefully provide further liquidity in the markets and encourage banks to lend more in the current state of the economy. This allowed other majors as the euro and the royal pond to advance against the green currency encouraging investors to head out to the commodities market where returns are higher now.