Gold futures for June delivery climbed 1.6 percent to $1,354 an ounce at 11:49 a.m. on the Comex in New York. Kinross Gold Corp. and Goldcorp Inc. led gains by large producers, which are having their best day in more than five weeks. The metal is up 3.2 percent this week, the most since April 2016.
Bullion, which surged last year by the most since 2010, had sputtered this year as the prospect of higher interest rates spurred investors to chase higher-yielding assets.
There are other signs that bullion is winning favor with investors again. Global holdings in exchange-traded funds have risen to the highest level since 2013, while traders and analysts in a Bloomberg survey are the most bullish on the metal’s outlook in almost two months.
“It’s been a good week for precious metal bulls, with multiple factors supporting the yellow metal,” said Jordan Eliseo, chief economist at Australian Bullion Co. “Gold rallied after the Fed pushed through with their anticipated rate hike, whilst the troubling rhetoric around tariffs, and the sharp selloff in risk assets, is also providing some safe-haven demand.”
(Written by Joe Richter and Ranjeetha Pakiam)
