Political tensions raise gold prices

SANAA, May 20 (YPA) –  Gold prices rebounded as the U.S. dollar eased after Italian political tension sparked a sell-off in the country’s bond markets and investors sought a safe haven in bullion, according to Reuters Agency-based in London.

The agency said that Spot gold gained 0.2 percent at $1,292.12 per ounce after hitting its lowest since Dec.27 in the previous session at $1,285.41.

The metal was heading for its biggest weekly decline since early December, down nearly 2 percent versus last week.

U.S. gold futures for June delivery settled up $1.90, or 0.2 percent, at $1,291.30 per ounce.

The demands of populist parties likely to form Italy’s next government, which promised to ramp up spending, caused Italian investors to flee bond markets and purchase gold.

Ali Ahsan