Investors rush to Gold as Middle East clashes intensify
Friday morning's peak saw gold climb closer to its record price of $3,500.10 per ounce that it hit back in April, as global stock markets tumbled after tensions flared in the Middle East. David Morrison, senior market analyst at Trade Nation, said: 'Gold continues to benefit from a softer dollar and simmering geopolitical concerns. The next upside target is $3,400, a level that has acted as resistance since late April.
Israel carried out a series of airstrikes across Iran in Thursday night, hitting nuclear facilities, Iranian military commanders and nuclear research scientists. Israel says the attacks were a pre-emptive strike against Iran's nuclear programme, claiming Iran has been attempting to assemble nuclear weapons.
It was reported on Thursday that Iran had failed to comply with the global nuclear watchdog for the first time in 20 years. On Friday, Iran reportedly launched some 100 drones against Israel. Concerns that these exchanges could escalate into full-blown conflict have seen investors buying into gold to hedge against future uncertainty.
Rick Kanda, managing director at The Gold Bullion Company, said: 'Gold has a proven track record of performing well during economic uncertainty and global conflicts due to its intrinsic value, which is why many investors see gold as a safe haven. During times of conflict, investors steer away from investing in assets such as stocks and bonds, as geopolitical events often threaten the infrastructures supporting these assets.'
The FTSE 100 opened 0.6 per cent lower, while the DAX 40 fell 1.4 per cent and the CAC 40 was down 1.1 per cent. New York's S&P 500 was 1.1 per cent lower in pre-market trading. Shares in London-listed gold miners Endeavor and Fresnillo were lifted by the rush towards safe havens, rising 1.7 per cent and 1.1 per cent respectively.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Daily Mail
32 minutes ago
- Daily Mail
Albo's chilling warning that Aussie military could be sent into the Middle East as Israel-Iran conflict explodes
Australia's military could be asked to play a role in the Middle East as regional tensions escalate. Iran and Israel have targeted each other with missile and air strikes after the latter launched its biggest-ever air offensive against its long-time foe. Prime Minister Anthony Albanese said his government was continuing to monitor the situation and urged Australians in the region to leave. Australia has not been drawn into the conflict, but Mr Albanese said the nation could be asked to participate in the future. 'It's obviously a very volatile situation,' he told reporters in Seattle on Saturday, local time. 'We expect there could be a request for Australia to play a military role.' The US was notified about the Israeli strikes in advance but Washington officials have been quick to point out it played no part in the attacks, warning Iran not to target its personnel or interests. Mr Albanese landed in the US on his way to the G7 summit in Canada on Sunday. He is expected to meet with a range of global leaders, including US president Donald Trump, who has been working with Iran on a nuclear deal. Tariff discussions are expected to take the spotlight but defence talks could also feature after the US urged Australia to increase defence spending to 3.5 per cent of GDP. Australia is already forecast to grow military spending to 2.3 per cent of GDP and Mr Albanese insisted his government would give 'whatever capability Australia needs to defend our national interest'.
The Independent
an hour ago
- The Independent
Ministers to unveil 10-year plan to overhaul UK's ‘crumbling' infrastructure
Ministers are to unveil their plan to overhaul infrastructure over the next decade as Rachel Reeves said the country's schools and hospitals have been 'left to crumble'. The Treasury has promised hundreds of billions over the next decade for projects such as roads, railways and homes. According to the Treasury, the document will lay out Government plans on prioritised policy areas such as upgrading transport networks, building new homes, modernising public services such as hospitals, and assisting the transition to green energy. Ministers are pledging that at least £725 billion will be spent on infrastructure over the next 10 years. Ms Reeves said: 'The British people voted for change – and this is how we deliver it. For too long, our infrastructure – our schools and hospitals, or our roads and bridges – have been left to crumble, holding back communities and stunting economic growth. 'This was a dereliction of duty by previous governments overseeing an era of managed decline, but it ends with this one. 'We are investing in Britain's future, brick by brick, road by road and track by track. 'The strategy will rebuild people's pride in their homes, while growing the economy and putting more money in people's pockets as we deliver our Plan for Change.' The Chancellor outlined a raft of infrastructure investment as part of last week's spending review. According to Wednesday's announcement, there will be £39 billion over the next 10 years to build affordable and social housing, and spending is due to reach £4 billion a year in 2029/30. There was also a £30 billion commitment to nuclear power, including £14.2 billion to build the Sizewell C plant in Suffolk and £2.5 billion in small modular reactors, as well as £15 billion for public transport projects in England's city regions and a four-year settlement for Transport for London worth £2.2 billion. Shadow chancellor Sir Mel Stride said that the Chancellor is 'desperately trying to paper over the damage she's done to the public finances'. Sir Mel added: 'With inflation up, growth down, and unemployment rising, the economy is heading in one direction and that is backwards.'
The Guardian
2 hours ago
- The Guardian
News live: PM secures meeting with Trump; Australian man killed in Bali
Update: Date: 2025-06-14T22:32:47.000Z Title: Good morning Content: , and welcome to today's blog. And if you were hoping to ease into it, apologies – there's quite a bit going on. Prime minister Anthony Albanese has managed to shore up a meeting with US president Donald Trump. They'll catch up on the sidelines of the G7 summit in Canada on Tuesday. Tariffs are top of the agenda, but the Aukus deal is now looking shaky so that will likely feature as well. Albanese said: Obviously, there are issues that the US president is dealing with at the moment, but I expect that we will be able to have a constructive engagement. Foreign affairs minister Penny Wong will be on Insiders shortly, which is excellent timing considering everything that's going on in the world. Speaking of which, you can follow the turmoil in the Middle East at our live blog here. We're also chasing news that an Australian man has been shot and killed in Bali. The ABC reports that a Melbourne man died and another was injured in an attack at a villa in Munggu, which is about an hour north of Kuta. A second man was injured. I'm Tory Shepherd, and I'll try to find some lighter news for you throughout the day!
