Gold prices leapt as high as US$748.10 per ounce on the London Bullion Market.

Platinum, meanwhile, hit US$1,399.25 an ounce on the London Platinum and Palladium Market.

That was close to its record high US$1,402.50 hit in November 2006. The high points came as the European single currency bounced back above US$1.42, rising close to its record high US$1.4283 that was struck on Oct. 1.

Gold tends to rise when the U.S. unit weakens because it makes commodities that are priced in dollars cheaper for buyers using stronger currencies, analysts say.

“Gold prices strengthened again as U.S. dollar weakness underpinned solid gains,” noted analysts at Barclays Capital.

The precious metal is also supported by strong crude oil prices, which in turn spark inflationary concerns. However, gold is regarded as a safe bet in times of rising inflation.

Platinum, already beset with tight supplies, took another hit on Thursday from fresh concerns in South Africa.

“The rise in (platinum) prices has been supported by concerns over supply following news of electrical power shortages in South Africa — the world’s largest producer of platinum,” added Barclays Capital analysts.

“The power supply to smelters owned by Anglo Platinum was disrupted and reignited fears that the power situation could worsen over the next few years.”

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