Khaberni - Gold prices rose more than one percent on Wednesday, climbing from the lowest level in more than a week recorded in the previous session, as the escalation of American-Israeli air raids on Iran and increasing geopolitical uncertainty supported demand for safe havens.
Gold in spot transactions increased 1.6 percent to $5168.69 per ounce. U.S. gold futures for April delivery rose 1.1 percent to $5178.40.
Gold fell on Tuesday by more than four percent to its lowest level since February 20th, affected by the rising dollar and the declining likelihood of interest rate cuts amid concerns about inflation due to fears that the conflict in the Middle East might continue for a long time.
Global oil and gas prices increased as energy exports from the Middle East were disrupted by the American-Israeli war on Iran, as Tehran attacked ships and energy facilities, halted navigation in the Gulf, and forced Qatar and Iraq to stop production.
Global stock markets fell as investor concerns about inflation worsened due to the disruption of energy supplies from the Middle East.
According to the CME Group’s FedWatch tool, investors expect the Federal Reserve (the U.S. central bank) to keep interest rates unchanged at the end of its upcoming two-day meeting on March 18th.
For other precious metals, silver in spot transactions rose 3.5 percent to $84.92 per ounce today, Wednesday, after falling more than eight percent in the previous session.
Platinum in spot transactions increased 2.7 percent to $2139.56 per ounce, while palladium rose 1.6 percent to $1673.87.
