Gold is on the rise as 2014 looks like the year this precious metal reclaims its luster as an investment option. With debt increasing, the value of the US dollar is declining vs the euro, and investors seek the monetary security only gold can provide in times of uncertainty.

Bloomberg – Debarati Roy – Gold futures posted the longest rally in four months and silver climbed to a one-week high as the dollar’s slump boosted demand for precious metals as alternative investments.The euro jumped to the highest in more than two years against the greenback after Jens Weidmann, a European Central Bank Governing Council member, said keeping interest rates low may endanger political reforms. The Standard & Poor’s GSCI Spot Index of 24 raw materials climbed to a 10-week high, paced by industrial metals.“It’s a currency story,” George Gero, a vice president and precious-metal strategist in New York for RBC Capital Markets, said in a telephone interview. “The strong euro has kept sellers in gold on the sidelines.”Gold futures for February delivery rose 0.1 percent to settle at $1,214 an ounce at 1:39 p.m. on the Comex in New York. The price climbed for the third straight day, the longest rally since Aug. 16. Earlier, the metal reached $1,218.90, the highest for a most-active contract since Dec. 19.

Read more at: Gold Has Longest Rally in Four Months as Dollar Slumps – Bloomberg.