Gold Prices Rise Again
Silver prices rose 1.5%, reaching $49.86 per ounce. Platinum and palladium also gained after sharp declines in the previous trading session.
Gold prices rose 0.8%, approaching $3,900 per ounce. This helped the precious metal recover some of its losses following a sharp 3.7% decline on Friday. However, gold recorded its worst October performance since 2008.
Oil prices, meanwhile, fell after reports that US President Donald Trump wants to allow more time for diplomacy before deciding whether to resume attacks on Iran. Trump is expected to decide after the midterm elections whether to restart military strikes against Tehran.
At the same time, rising tensions in the Middle East continue to affect the gold market. Iran has threatened a broader response to any potential attack, while Gulf states have expressed concerns that renewed military action could trigger an even more destructive regional war.
On the other hand, declining technology stocks are also putting pressure on gold prices. The recent downturn in the artificial intelligence sector has prompted investors to sell gold holdings to offset losses in other investments. However, selling pressure eased on Monday as Asian markets experienced smaller declines compared with their Wall Street counterparts.
Justin Lin, a strategist at Global X ETFs, said gold had received short-term support from long-term investors who consider current prices attractive. Nevertheless, he emphasized that the market remains exposed to significant risks.
Other precious metals also recorded gains. Silver rose 1.5% to $49.86 per ounce after falling nearly 6% on Friday. Platinum and palladium also advanced following significant losses in the previous session. The Bloomberg Dollar Spot Index, which tracks the US dollar against a basket of major currencies, remained unchanged.