Gold heads for recent peak as global political tension mounts
A weaker dollar is also helping the metal, while palladium is up nearly 1%
Bengaluru — Gold prices edged higher on Monday, heading towards a two-and-a-half-month peak hit last week. The gains came courtesy of an easing dollar eased and concern that rising political tensions could slow global economic growth. Spot gold was up 0.2% at $1,228.15 an ounce at 4.24am GMT. On October 15, bullion touched its highest since July 26 at $1,233.26. US gold futures were up 0.2% at $1,231 an ounce. "So far we are seeing a good recipe for gold prices to recover. One is global economic slowdown, another is geopolitical uncertainties…. At the same time, there is a risk-off sentiment," said Argonaut Securities analyst Helen Lau. "If the tensions loom large we could see gold rebound through 1,300." The outlook for global growth in 2019 has dimmed for the first time, according to Reuters polls of economists, who said the US-China trade war and tightening financial conditions would trigger the next downturn. Meanwhile, geopolitical concerns including tension between Saudi Arabi...
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