A report in The Independent—and picked up by the Drudge Report—that oil-producing countries are considering dropping dollar-based pricing sent gold prices soaring, despite denials from top officials. Gold, considered a safe investment as confidence in the dollar slips, hit a record $1,038 per ounce by midday Tuesday; silver and copper prices also jumped. Robert Risk reported in The Independent that Gulf states are plotting with China, Russia, Japan, and France to abandon the dollar-peg for oil trades, preferring instead the Japanese yen, Chinese yuan, euro, gold, and a new unified currency for the Gulf. At an IMF meeting, officials from Saudi Arabia and Russia denied the report.
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