Gold futures surged to a new record high on a weaker U.S. dollar and rising tensions in the Middle East. Gold futures rose 1% to $3,037.60 an ounce, beating Friday's previous record high of $3,017.10 an ounce. The U.S. dollar has been under downward pressure due to weak economic data and concerns about the pace of U.S. growth, alongside the growing burden of public debt, Linh Tran of XS.com said in a note.
At the same time, geopolitical tensions continue to rise in the Middle East. The Israel-Hamas conflict escalated dramatically early Tuesday when Israel launched a series of attacks on Hamas targets across the Gaza Strip, killing more than 300 people, according to Palestinian authorities. Combined with the escalating trade conflict caused by U.S. tariffs, investors have been drawn to gold as a safe haven, Tran wrote.
Source: Bloomberg
