NEW YORK - The price of gold on Friday crossed 900 dollars an ounce for the first time, driven by the prospect of a significantly weaker dollar as the market bet on new US interest rate cuts.

Gold futures hit a record 900.10 dollars on the New York Mercantile Exchange.

Gold prices earlier reached record highs in Hong Kong and in London. On the London Bullion Market, gold touched a high of 897.90 then settled at 895.56 dollars.

Traders were investing heavily in gold as they search a safe haven amid concerns over weakness in the world's largest economy. The dollar's decline has made gold more affordable for buyers using stronger currencies.

Federal Reserve chairman Ben Bernanke on Thursday signaled fresh interest rate cuts may be needed to shore up US economic growth amid a protracted housing slump and financial market turmoil.

- AFP /ls