LONDON, May 9: Gold prices breached $700 for the first time in 25 and a half years in both London and New York as investors ploughed cash into the precious metal amid rising concerns over the Iranian nuclear crisis.

On the Comex, a division of the New York Mercantile Exchange, gold for June delivery touched $701.50 per ounce — the highest level since October 1980.

On the London Bullion Market, the price of gold reached $700.80 per ounce for the first time since September 1980.

“The scale of buying interest flowing into the market seems set to drive prices ever higher with the metal’s $850 all-time high now a realistic target,” said James Moore, an analyst with specialist website TheBullionDesk.com.

Gold had struck the historic high point of $850 in January 1980.

Meanwhile on Tuesday, platinum climbed to a record high $1,236.50 per ounce on the London Platinum and Palladium Market.

Investors have sought refuge in gold and platinum because both precious metals are seen as a safe store of value in times of geo-political uncertainty, notably the current Iranian nuclear energy crisis.—AFP