Gold traded near three-week high on Friday, headed for its best weekly advance in seven, as geopolitical tensions in the Middle east and Ukraine enhanced safety demand on refuge assets.
U.S. President Barack Obama authorized limited air strikes on Northern Iraq to help religious minorities from Islamic militant’s aggression.
In Gaza, the 72 hour cease-fire expired Friday morning and Israel-Hamas talks hit a deadlock in Cairo.
Elsewhere, Russian President banned all imports of agricultural products from the EU and the United States in response of the sanctions imposed on Moscow due to its massive intervention in Ukraine.
The European Central Bank mentioned yesterday that recovery in the euro region is uneven, shedding the light on the risks posed by the escalating tensions in Ukraine.
The shiny metal is taking advantage once again from the geopolitical tensions, with less attention given to U.S. economic data after last week’s nonfarm payrolls report.
Gold resumed its rise for a fourth straight session, the longest rally since June, where it is currently trading around $1318.08 after hitting a high of $1322.53. Trading for today above $1305 areas will be positive and might support renewed upside attempts for the metal.
The shiny metal is set to snap the longest run of weekly losses since September as it has gained so far more than 1.8 percent.
The U.S. dollar retreated versus a basket of major currencies to trade below its 11-month peak. The dollar index is meanwhile hovering around 81.43 after touching a bottom of 81.34.
Crude oil for September’s delivery traded higher around $98.10 after hitting a high of $98.41.