As a result of the U.S. Federal Reserve announcing $600 billion worth of quantitative easing on Wednesday, gold prices climbed to a historic nominal high when they nearly reached $1,400 per troy ounce, according to the Financial Times.
Seeking security against the slipping value of a dollar, investors opted for gold, other precious metals and commodities, which rallied on Friday morning. The rally is also attributable to traditional investors jumping in from the sidelines.
"There is a new buyer in the market," a senior London-based trader told the Financial Times.
Gold prices have skyrocketed this year, climbing in excess of 26 percent since January. While gold's performance is soaring, the dollar is plunging, which is typical as the two perform opposite one-another. The highest gold prices have been was in 1980, when the cost of one ounce of the yellow metal, adjusted for inflation, exceeded $2,300.
London saw spot gold prices increase during early trading on Friday, rising to a record high of $1,394.06 per troy ounce. That figure represented a 0.2 percent increase at that point.