Gold Holds Gain as Russia’s Nuclear Shift Fans Demand for Havens
US dollar’s slide has also assisted precious metal’s rally
Bullion has rallied by more than a quarter during 2024
Gold held a two-day climb, with rising demand for haven assets following an escalation of tensions in Russia’s war against Ukraine.
Bullion traded above $2,638 an ounce after advancing by more than 2% over the first two days of the week. On Tuesday, gold gained along with US Treasuries after President Vladimir Putin approved an updated nuclear doctrine that expanded conditions for using atomic weapons and Ukraine made its first strike with American missiles in Russia. Investors typically seek safety in the precious metal at times of geopolitical and economic uncertainty.
Gold’s strength this week has also been assisted by a slide in the US dollar, which has rolled back some of the strong gains made by the currency in the wake of Donald Trump’s victory in the presidential election.
Bullion has rallied by more than a quarter this year, with gains underpinned by central-bank buying, the Federal Reserve’s pivot to monetary easing, and geopolitical tensions in Europe as well as the Middle East. Goldman Sachs Group Inc. has backed the metal to extend its advance to $3,000 an ounce next year.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Most Discussed
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10