With the dollar loosing ground against the euro, gold was seen an alternate investment option. Matt Zeman, a trader at LaSalle Futures Group in Chicago, said: "Gold is going to become the currency of choice as people lose faith in fiat currencies. These countries continue to write checks that they can’t cash.”
Another view came in the form of a report from GoldCore Ltd., a broker in Dublin: "There are hopes that the Greek deficit cuts will stem the tide of the declining euro. Concerns that the austerity measures being taken in Greece may soon have to be undertaken in other European economies and in the UK should lead to continuing safe-haven demand for gold.”
Gold for April delivery rose $5.90 to $1,143.30 an ounce.