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(CBC)
Gold prices hit another record Tuesday.
Spot gold gold for immediate delivery soared to $1,080.60 US per ounce Tuesday morning.
The jump came after India's central bank bought 200 metric tons of the metal from the International Monetary Fund for $6.7 billion. The move was part of an effort to shore up IMF finances and increase low-cost lending to developing countries and raised speculation about more purchases by other central banks.
That led the Toronto stock exchange with its heavy weighting in gold mining stocks to seesaw. The S&P/TSX composite index had been down as much as 124 points, turned positive in morning trading and at midday was barely changed from Monday's close of 10,878.35.
The gold sector was ahead 4.4 per cent and the December bullion contract on the New York Mercantile Exchange gained $25.30 to $1,079.30 an ounce.
Yamana Gold gained 64 cents, or 5.5 per cent, to $12.29 on six million shares.
