Gold climbs to new record of $1,254 an ounce as investors seek safe alternatives

Gold touches record high as investors seek safety

NEW YORK — Gold has climbed to another record high as investors continue to seek safety.

Gold for August delivery jumped as high as $1,254.50 an ounce in early trading Tuesday before pulling back slightly. Gold is up $4.80 at $1,245.60 an ounce.

Analysts say the flood of investors into the gold market comes amid persistent worries about volatility in other markets and concerns over the global economy, especially Europe’s debt crisis.

The United Kingdom became the latest European country to worry traders Tuesday after Fitch Ratings said the country is facing “formidable” fiscal challenges.