Gold Price Rises as Investor’s Haven Takes Hold

The gold firmed on Thursday after a sharp correction a day earlier on lingering concerns over the Russia-Ukraine crisis, after no progress was made in talks between the two sides, while investors await a key U.S. inflation figure. .

Spot gold was up 0.2% at $1,996.09 an ounce at 10:47 GMT after falling as much as 3% on Wednesday. US gold futures were up 0.7% at $2,002.40 an ounce.

“Gold bulls have shown little hesitation in catapulting prices higher on signs the Ukraine crisis could drastically worsen the global economic outlook.said Han Tan, chief market analyst at Exinity.

The foreign ministers of Russia and Ukraine met Thursday in Turkey, the highest-level contact between the two countries since the war began on February 24, but at simultaneous news conferences they made it clear that they had not achieved any progress.

A run for haven assets earlier this week over the Ukraine crisis pushed gold prices to near-record levels reached in August 2020.

Among other precious metals, palladium, used by automakers in catalytic converters to cut emissions, fell 0.4% to $2,926.54 an ounce.

The metal hit a record high of $3,440.76 on Monday, fueled by fears of supply disruptions from top producer Russia.

Spot silver added 0.3% to $25.80 an ounce, while platinum added 1.1% to $1,087.32 an ounce.

With information from Reuters