Spot Gold Climbs Nearly 1% as Middle East Tensions Spur Haven Demand
Summary
- International gold prices extended their advance, with spot gold rising about 1%% to $4,498.63 an ounce.
- Markets see Middle East geopolitical risks and safe-haven demand as factors driving the rise in gold prices.
- The outcome of US-Iran talks and shifts in military tensions in the Middle East could affect future volatility in gold prices.
Forecast Trend Report by Period
International gold prices extended their advance as investors focused on geopolitical risks in the Middle East and demand for safe-haven assets.
Walter Bloomberg reported on May 28 that spot gold rose to $4,498.63 an ounce, up about 1% from the previous session.
The US and Iran have recently extended a ceasefire and continued nuclear talks. Still, key differences remain over limits on uranium enrichment and the scope of sanctions relief. Markets view that uncertainty in the Middle East as supportive of haven demand.
Expectations for US interest-rate policy and moves in the dollar also affected gold prices. Gold typically strengthens during periods of heightened geopolitical risk and dollar weakness.
Markets are also watching whether the outcome of US-Iran talks and any shift in military tensions in the Middle East will affect volatility in gold prices going forward.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
