Gold price surge breaks "September curse"

September is traditionally a tough month for the precious metals market, but this year the “curse” has been broken, according to Neils Christensen, an analyst at Kitco News.

Gold futures for December ended the week at $2,700 an ounce. Although prices have fallen nearly 1% from their record highs this week, gold still has plenty of upside potential.

Even with Friday's selloff, the precious metal is still on track for a record weekly close around $2,670 an ounce. Gold is up 5.6% this month, on track for its best monthly gain since March, when the unprecedented streak of record highs began.

Notably, some experts believe that the gold price increase will continue into October. Sharing on Kitco, Darin Newsom - senior market analyst at Barchart.com - said that the gold price increase will continue until it is affected by an external force.

“That external force is usually investor activity. But given the likelihood of global turmoil only increasing in the coming month, investors are not going to change their minds about gold as a safe haven,” said Darin Newsom.

Although the world gold price turned down in the last trading session of the week, Kevin Grady - President of Phoenix Futures and Options - said he was not worried: "I think the adjustment is normal and healthy. The increase cannot continue. I think the interest rate picture will continue to benefit both metals and stocks."

James Stanley, senior market strategist at Forex.com, is bullish on gold next week, saying technical indicators are showing overbought conditions, but that doesn’t mean much for gold as central banks continue to ease.