22 February 2005, 16:52  NY gold opens at 7-week high as dollar falls

U.S. gold futures rose to a seven-week high at Tuesday's open as the dollar dropped sharply.
By 8:24 a.m. EST (1324 GMT), gold for April delivery on the New York Mercantile Exchange's COMEX division was up $5.70 at $434.10 an ounce after backing off $434.80 which was its highest since Jan. 3.
The dollar tumbled amid concerns that central banks were shifting their reserves out of dollar assets.
A weaker U.S. currency makes dollar-denominated precious metals such as gold cheaper for traders holding foreign currencies.

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