Gold closed up $30.5 after China’s military drills support safe haven buying

Gold futures closed at their highest level in more than a month on Thursday (Aug. 4), supported by a weak dollar and by investors buying gold as a safe haven amid concerns about Chinese military exercises around Taiwan.

  • Gold futures rose $30.5, or 1.72%, at $1,806.9 per ounce. This is the highest closing level since June 30.
  • Silver futures were up 22.8 cents, or 1.15%, to close at $20.122 an ounce.
  • The platinum was up $36.4, or 4.1%, at $924.9 an ounce.
  • The palladium futures rose $69.60, or 3.4%, at $2,077.50 an ounce.

The dollar index against the six major currencies in a basket of currencies fell 0.76% to 105.6940. The weakening of the dollar made gold contracts cheaper for investors holding other currencies.

In addition, investors are buying gold as a safe haven due to concerns about Chinese military exercises around Taiwan, where a missile was fired into Japanese waters.

According to the Japanese Defense Ministry, the Chinese military fired nine missiles yesterday, five of which landed in Japan’s exclusive economic zone (EEZ), marking the first time China has fired a missile in the area.

The Chinese missile launch prompted diplomatic protests by the Japanese government against the Chinese authorities and demands that China immediately halt its military exercises near Taiwan.

In response to the visit of U.S. House of Representatives Speaker Nancy Pelosi, China has fired the missiles during drills around Taiwan. The drills will continue until August 7.

The Spot Market is Open

Friday, August 5, 2022

Metals
Updated at
USD
Bid/Ask
Ounce
Change

Low/High
Gold
11.45
1,791,60
1,792.60
+0.40
+0.02%
1,789.00
1,795.80
Silver
11.45
20.28
20.38
+0.13
+0.62%
20.14
20.39
Platinum
11.45
935.00
945.00
+6.00
+0.65%
928.00
945.00
Palladium
11.45
2,043.00
2,193.00
+39.00
+1.95%
1,998.00
2,193.00
Rhodium
05.00
13,600.00
15,600.00
0.00
0.00%
13,600.00
15,600.00

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