Gold and silver surged higher on Thursday, as the focus of traders turned squarely to the fiscal and economic problems in the US.
The yellow metal rallied to a new high within reach of $1,600 a troy ounce, while silver approached $40 a troy ounce.
The surge began on Wednesday, when Ben Bernanke, Federal Reserve chairman, raised the possibility of a third bout of quantitative easing – or “QE3”, saying the central bank could take further steps to prop up the US economy if needed.
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