Gold prices held near their strongest level in around three weeks in European trade on Tuesday, as investor sentiment skewed toward safe-haven assets after a suspected terrorist attack at a concert in Britain’s city of Manchester.
Comex gold futures firmed at $1,261.43 a troy ounce by 3:10AM ET (07:10GMT). Meanwhile, spot gold was at $1,261.60. Prices of the yellow metal rose to an overnight peak of $1,263.80, just shy of a three-week high of $1,265.00.
Police said an explosion at the end of a concert by U.S. singer Ariana Grande in the English city of Manchester on Monday killed at least 19 people and injured more than 50.
Two U.S. officials said a suicide bomber was suspected, while Prime Minister Theresa May said the incident was being treated as a terrorist attack.
If confirmed, it would be the deadliest militant assault in Britain since four British Muslims killed 52 people in suicide bombings on London’s transport system in July 2005.
Gold has been well-supported in recent sessions as political uncertainty surrounding the Trump administration pressured the dollar lower.
Investor sentiment has been hit by fears that the U.S. political system could become engulfed by crisis, preventing lawmakers from pushing through tax or spending reforms.
Also on the Comex, silver futures shed 7.1 cents, or about 0.4%, to $17.12 a troy ounce, after hitting its highest since May 1 at $17.21 a day earlier.
Source: UK Investing.com