Gold prices at new record highs

The price of gold hit record highs Tuesday as August contracts in New York added $5.70 to close at $1,246.50 per troy ounce after also setting an intraday record as it reached $1,254.50 per troy ounce earlier in the session.

Gold prices have now added 13 percent this year.

Today’s gains came on concerns that Europe’s debt problems could widen and hurt recovery from the recession, but also on concerns that inflation could result if Europe’s debt crisis is resolved and interest rates remain low in the United States, with either situation sending investors looking for safe places to put their cash.

Silver added 32 cents in afternoon trade to $18.47 per troy ounce, while platinum gained $11.50 to $1,526.80 per troy ounce in New York.

Among base metals, meanwhile, July copper added a cent to $2.78 per pound in New York trade after falling for six sessions in a row after going as much as 1.3 percent lower earlier in the session on concerns that Europe’s debt crisis could cause consumption to decline.

Three-month copper was up $64 to $6,165 on the London Metal Exchange, with gains in both places coming on a slightly weaker US dollar.

Other base metals prices also saw gains in London trade.