Safe-haven gold hits record high on global uncertainties

Gold prices surged to a grounds precocious connected Wednesday, arsenic conflicts successful the Middle East and uncertainty surrounding the upcoming U.S. predetermination spurred request for safe-haven assets.

Spot golden traded astatine $2,749.82 per ounce arsenic of 0437 GMT, aft hitting an all-time precocious of $2,750.21 earlier successful the session.

U.S. golden futures edged 0.2% higher to $2,764.00.

"Both statesmanlike candidates are proposing inflationary policies, which volition beryllium precise supportive for gold. While immoderate of this is priced in, it volition besides supply ongoing enactment for higher prices," Michael Langford, main concern serviceman astatine Scorpion Minerals, said.

Bullion is considered a hedge against economical and geopolitical uncertainties.

Democratic U.S. Vice President Kamala Harris held a marginal 46% to 43% pb implicit Republican erstwhile President Donald Trump, a caller Reuters/Ipsos canvass found.

In the Middle East, Israel confirmed it had killed Hashem Safieddine, the heir evident to precocious Hezbollah person Hassan Nasrallah who was killed past month.

Meanwhile, the U.S. Federal Reserve started its rate-easing rhythm with a 50-basis-point chopped past month. The likelihood of a akin determination successful November person faded entirely, but traders spot a 92% accidental of a quarter-basis-point cut, the CME FedWatch instrumentality showed. Lower rates amended the entreaty of non-yielding bullion.

"Gold has scaled caller highs contempt existent and nominal yields edging higher, the dollar strengthening and U.S. equity markets scaling caller highs," analysts astatine Standard Chartered said successful a note.

"Gold's quality to latch connected to overgarment tails that instrumentality prices higher irrespective of the macro backdrop suggests that the marketplace continues to spot affirmative underlying flows."

Spot metallic fell 0.5% to $34.67 per ounce, aft hitting its highest since precocious 2012 astatine $34.87 successful the erstwhile session.

"Silver's carnal shortages supply beardown enactment for the metal," Langford said.

Platinum roseate 0.5% astatine $1,033.88 and palladium added 0.3% to $1,078.72.

Follow Emirates 24|7 connected Google News.