New York gold futures hit a new all-time high of $1,097.80 an ounce Wednesday on speculation that some central banks will buy gold.

Most-active gold for December delivery on the New York Mercantile Exchange's Comex division eclipsed the previous record high of $1,088.50, posted Tuesday.

The benchmark contract scored a closing record of $1,087.30, up $2.40 from the previous day for the third consecutive day of rise.

The International Monetary Fund has sold 200 tons of gold worth $6.7 billion to the Indian central bank as a way of expanding low-cost lending to developing countries.

The move spawned speculation that central banks of other countries will also buy gold, sparking massive buy orders for gold futures, market analysts said.