18 October 2023
Gold prices surged due to Middle East tensions, especially after a deadly explosion in Gaza. This escalated concerns, impacting US President Joe Biden’s scheduled trip to the region. Prior to this, there were fears of the conflict spreading, prompting Biden to send two aircraft carriers and place troops on alert. Following the explosion, Iran proposed a boycott and oil embargo on Israel. Despite claims of Israel’s non-involvement by Biden, the situation remains tense. Bullion benefited, rising about 6% since Hamas’s attack on Israel. Meanwhile, US economic data strengthened the case for sustained high interest rates, typically bad for gold. Currently, gold stands at $1,943.57 an ounce.