Gold prices reached a record high of above $1,130 an ounce on Monday, as the dollar declined further against a basket of currencies. The yellow metal has increased 10 percent in the past two weeks, says Reuters. The previous record of $1,122.85 was reached on November 12.

According to analysts, the price of gold is set to increase higher. Investment fund BlackRock, which advises the US Federal Reserve, has predicted an increase in gold prices because of lower global supply and higher demand.

“The most recent break-out in the gold price in US dollars has caused most gold prices to start trending higher at the same time,” said Evy Hambro, who runs BlackRock’s World Mining Fund. “Supply is still falling for the industry, which is not a sign of an industry enjoying massive prices,” he told Bloomberg. According to him central banks across the world will be the main buyers of gold this year.

Regionally too, investors are spending more on gold. “The level at which investors are willing to buy gold continues to increase,” market research and consulting firm CPM said on Dubai Gold and Commodities Exchange (DGCX)’s weekly newsletter released on Sunday. “As of 11 November combined ETF (exchange-traded fund) gold holding were 56.27 million ounces, up from 55.95 million ounces at the start of the month,” it said.