Andrew
Gold traded near a one-month high — after jumping the most since March on Thursday — as US-China tensions and a deepening global slowdown buoyed demand for haven assets.
Bullion surged 1,5 percent on Thursday and is heading for a run of three straight weekly gains after China likely fired missiles over Taiwan during military drills.
Beijing has responded aggressively to US House speaker Nancy Pelosi’s visit to the island last week, the highest ranking American politician to go there in 25 years.
There were more signs that the fight to cool inflation will weigh on global growth.
The Bank of England unleashed its biggest rate hike in 27 years as it warned the UK is heading for more than a year of recession, while Cleveland Federal Reserve Bank President Loretta Mester said US interest rates needed to be raised above 4 percent.
Gold has risen about 6 percent from
a low on July 20, benefitting from a weakening dollar and falling US bond yields.
Spot gold rose 0,1 percent to US$1 792,60 an ounce as of 11,57 m in Singapore on Friday and was up 1,5 percent last week.
It climbed to US$1 794,97 on Thursday, the highest intraday level since July 5. The Bloomberg Dollar Spot Index edged higher. Silver, platinum and palladium advanced. — Bloomberg.
Online Reporter