Gold Hits Record as Silver Tops $40

Gold prices hit a record Friday and silver prices touched $40 an ounce as traders braced for an uncertain weekend with a potential government shutdown looming in the U.S.

Gold for June delivery was adding $14.90 to $1,474.20 an ounce at the Comex division of the New York Mercantile Exchange. Gold hit another record high of $1,476.20 an ounce Friday. The spot gold price was jumping more than $12, according to Kitco's gold index.

Silver prices surged $0.88 to $40.43 an ounce after hitting a 31-year high of $40.48 an ounce.

"These levels (for silver) are going to be a springboard to $50," says Anthony Neglia of Tower Trading, "maybe sooner than I think." Neglia sees $37 as the new support area for silver, whereas a few weeks ago it was $30.50.

As silver looks to $50, gold is looking to $1,500, which seemed like a far-fetched dream for a few weeks ago, as the metal could not pass $1,450. Now it has, and many experts think the metal will reach $1,500 in days or weeks.

When gold will hit $1,500 "is a good question," says Will Rhind, the head of U.S. operations for ETF Securities. "I think that right now with the market the way it is, who knows, it could be a matter of days."