Gold prices rose on Friday as an escalation in geopolitical tensions and uncertainty about the U.S. and China agreeing on a trade deal anytime soon forced traders to seek the safe haven asset.
A steady dollar limited gold’s uptick. The dollar index rose to 98.60, gaining about 0.33%.
Gold futures for December ended up $8.90, or about 0.6%, at $1,515.10 an ounce.
For the week, gold futures gained about 1%, registering their first weekly gain in a month.
Silver futures for December ended down $0.035, at $17.849 an ounce, while Copper futures for December settled at $2.6065 per pound, down $0.020 from previous close.
U.S. President Donald Trump today announced more sanctions on Iran. Following Trump’s orders, the Treasury Department imposed sanctions on Iran’s central bank in response to the attacks on Saudi Arabian oil facilities last weekend.
The Treasury Department claims Iran’s Central Bank has provided billions of dollars to the Islamic Revolutionary Guards Corps, its Quds Force, or IRGC-QF, and its terrorist proxy, Hizballah.
Sanctions were also imposed on Iran’s National Development Fund, or NDF. The Treasury also took action against Etemad Tejarate Pars Co., an Iran-based company allegedly used to conceal financial transfers for MODAFL’s military purchases, including funds originating from the NDF.
Meanwhile, on the trade front, China reportedly cut short its trade negotiations with the U.S. According to reports, Chinese agricultural officials plan to return to China earlier than originally scheduled.
Earlier in the day, Trump had stated that he was looking for a complete trade deal with China and that it didn’t need to come before the 2020 election.
The material has been provided by InstaForex Company – www.instaforex.com