Gold Drops to $1268 after Iraq Surge

Gold capped the longest rally in almost four months as intensifying unrest from Iraq to Ukraine increased demand for the precious metal as a haven.

Bullion has climbed 6.1 percent this year partly because of tension in Ukraine, which said today that natural gas supplies had been cut off by Russia amid worsening relations between the two countries. Iraq’s army killed more than 279 fighters from the Islamic State in Iraq and the Levant and destroyed 50 of the group’s vehicles within 24 hours, military spokesman Qassim Ata said yesterday.

“Some people see the need for gold, as there has been a breakdown of international agreement in Ukraine and as the situation in Iraq worsened,” Jeffrey Christian, the managing director at New York-based CPM Group Inc., said in a telephone interview.

Bloomberg

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.