Gold surpassed its record high of $800-per-ounce of 1980, to reach $800.80 on the New York Mercantile Exchange. This was the after result of the US Federal Reserve cut its short-term interest rate by a quarter of a percentage point to 4.50%, reported.%%The interest rate cut was affected in the backdrop of housing slump and fears of inflation prompted by record high oil prices, leading to a further weakening of the dollar, which in turn reduced the price of gold when stronger currencies were used for its purchase.