The price of gold rose to a stunning new record of $765 an ounce Wednesday on hectic European bullion markets before easing back as speculators took profits. Besides general concern about world political tensions, two other factors have been held responsible for the latest gold rush: concern over Yugoslav President Tito's health and a remark by US Treasury Secretary G. William Miller that the Treasury had no plans for gold auctions at this time.
Gold touched $750 an ounce in Hong Kong Wednesday before falling back to close at $735. In New York it was about $750 an ounce at midday after rising as high as $770 an ounce.
Despite the gold rush, however, the foreign-exchange markets, where paper currency is bought and sold, have been stable in recent weeks. The dollar held its own against most major currencies again Wednesday.
Some dealers thought the dollar might even have been helped by the gold activity, because operators were looking for dollars with which to buy gold.