Gold Climbs 1% as Middle East Conflict Boosts Safe-Haven Demand
Gold prices rose about 1% on Friday as investors turned to the precious metal for safety amid escalating tensions in the Middle East. Spot gold climbed to $5,128.39 per ounce, recovering from a more than 1% drop in the previous session, while U.S. gold futures for April delivery gained 1.2% to $5,137.50. A weaker U.S. dollar also supported bullion prices by making gold cheaper for holders of other currencies.
Market sentiment was driven by rising geopolitical risks after Iran launched attacks on Israel, the United Arab Emirates and Qatar on the sixth day of the conflict. Analysts say concerns about further escalation, including warnings from Iranian officials about possible ground confrontations with the U.S. or Israel, have increased safe-haven demand for gold.
Despite the weekly decline of about 3%, gold remains up roughly 18% so far this year due to global economic uncertainty and geopolitical tensions. Analysts expect prices to remain volatile, with support around $5,040 and resistance near $5,280. Meanwhile, other precious metals also gained, with silver rising 2.6%, platinum nearly 1.6% and palladium 2.2%.
Pic courtesy: google/ images are subject to copyright
