Gold rises as Middle East conflict spurs safe-haven demand |
Gold rises as Middle East conflict spurs safe-haven demand
Gold prices rose on Friday, rebounding from a more than 1 per cent drop in the previous session, as investors bought safe-haven bullion on heightened uncertainty over a widening Middle East conflict.
Spot gold was up 0.8pc at $5,117.27 per ounce, as of 06:50 GMT. The metal has lost roughly 3pc so far this week and is on course to snap a four-week winning streak on fading interest rate-cut prospects and inflation concerns as global energy prices spike.
US gold futures for April delivery were up 1pc at $5,126.70.
The dollar weakened, making greenback-priced bullion less expensive for holders of other currencies.
“Geopolitical risks are still not subsiding. In fact, there could be a risk of escalation, given the fact that the recent interview by Iranian foreign minister stating that the Iranian forces are ready for a ground invasion by the US or even Israel. So that’s actually supporting gold price,” said Kelvin Wong, a senior market analyst at OANDA.
On the sixth day of the war, Iran launched a series of attacks on Israel, the United Arab Emirates and Qatar.
US Defense Secretary Pete Hegseth and........