Gold prices topped $750 an ounce on Friday, the highest level since 1980.

Gold continues to rally as investors seek refuge from inflation and an ever-weakening U.S. Dollar. The USD declined for the seventh straight session, hitting another new low against the Euro.

December silver is up 32 cents to $13.965 an ounce.

Goldman Sachs announced that it has raised the 3 month gold price target to $775, up from $700 an ounce. Goldman Sachs cited inflation concerns and continued weakness in the U.S. Dollar as the primary catalysts for gold prices.

Gold for December delivery closed up 40 cents to $739.30 on Monday.

Analysts Predict Long Term Bull Market For Gold

Gold prices hit a 28 year high last week and many industry analysts and insiders are predicting the price appreciation to continue.

Ian Smith of Newcrest Mining states.......

"Supply of gold mining is going down, exploration and discoveries is going down and demand is going up.

"The overall economic environment really suggests gold will be positive over the next few years at least."

Sahil Kapoor of Kotak Commodity Services.......“We feel inflationary pressure in the world economy has not reduced. It will pick up even further in the coming months and quarters as agricultural commodities become more expensive worldwide,”.......“Higher crude oil prices will infuse lot of multiplier effect on other component of total demand in the world pushing world inflation ahead”

Investors continue to flock to gold as the U.S. Dollar hit a record low against the Euro.

Gold hit a 27 year high and is currently up 16% for the year.

Gold broke above $730 on Thursday, the highest level in 26 years.

Gold rallied to a 16 month high on Tuesday, fueled by reduced U.S. interest rates, higher oil prices, and a weaker dollar.

Gold is approaching the 26 year high set in May 2006 at $730 an ounce. A breakout above this level would be a very bullish signal and would indicate that gold prices are poised to head significantly higher.

The record price was set in January 1980 when gold traded at $850 an ounce.

The U.S Mint announced that it is suspending the sale of some 2007 gold American Eagle coins due to the rising price of gold bullion.

Last week un-circulated American Eagles containing the "W" mint mark were pulled from sale. The U.S. Mint states that these coins will be repriced and returned to the market by September 27.

The one ounce coins were selling for $749.95. With gold prices topping out above $720 last week the U.S. Mint was forced to reprice the coins.

Bulk sales of four coin proof sets of gold American Eagles were also suspended. These sets usually sell at a discount to bulk dealers. The Mint plans to honor all confirmed orders by bulk dealers for the American Eagle sets.

The Gold Bug index continues to rally on Friday, breaking above the 360 level.

The Gold Bug index is now attempting to cross overhead resistance at both the 50 and 200 day moving averages.