Gold surges as ME tensions spur safe-haven rush

Gold prices rose above $2,400 per ounce to an all-time high on Friday, heading for their fourth week of gains, as growing tensions in the Middle East prompted investors to seek refuge in the safe-haven assets, according to Reuters.

Spot gold eased 0.8 per cent to $2,353.35 per ounce as of 1:40 pm ET (1740 GMT), taking a breather after hitting a record high of $2,419.79. Prices were up around 1 per cent for the week.

US gold futures settled 0.1 per cent higher at $2,374.1.

Taking cues from gold’s upward momentum, platinum tested the key $1,000 per ounce level to its highest level in nearly four months.

“What’s really telling about the strength of gold is the U.S. dollar index and Treasury yields are climbing, yet gold continues to rally strongly – that’s very indicative of strong safe-haven demand,” said Jim Wyckoff, senior analyst at Kitco Metals.

A reportedly imminent attack by Iran on Israel is a real and viable threat, the White House said, giving no details about possible timing, reiterating that the US takes its commitments to defend Israel seriously.