Global stocks were lower on Thursday, with China's Shanghai Composite closing 3.6 percent lower, while gold hit another new record to $1,194.90 an ounce, as Debt problems in Dubai curbed investors' risk appetite.
Experts told CNBC investors have lost faith in the dollar and are therefore piling into gold. They see the dollar remaining weak for some time.
Overbuying in Gold
Gold is overbought, says Geoff Beeston, investment advisor at Lonsec. He advises investors to be cautious about chasing higher gold prices.
Losing Faith in Currencies
It is the loss of faith in currencies that is driving the price of gold higher, believes Matthew Kaleel, co-founder & portfolio manager at H3 Global Advisors.
How to Invest in the Recovery Phase
The dollar will probably continue to weaken against the euro and the yen over the medium term, says Paul Donovan, MD & deputy head of global economics at UBS. He tells CNBC how else investors can profit from the recovery.
More Upside Seen for Euro
The euro-dollar could hit $1.53 in three months' time, predicts Olivier Desbarres, director of FX strategy at Credit Suisse. He tells CNBC what is driving the euro's strength.
Dollar to Remain Weak
Expect the dollar to weaken over the next nine months, says Stuart Shrimpton, director of Intelligent Investments.
Dollar Run Over
The run in the greenback is over, for now, says Stephen Roberts chief economist, Australia Nomura.