Gold prices surge to record highs following death of Iranian leader
Date
5/21/2024 5:33:28 AM
(MENAFN) The price of Gold surged to record highs during trading on Monday, driven by heightened concerns over geopolitical uncertainty in the Middle East following the tragic death of Iranian Leader Ebrahim Raisi. Gold, often regarded as a 'safe haven' investment during periods of instability, saw a significant uptick in demand.
Raisi, the prominent leader of the Islamic Republic, lost his life in a helicopter crash on May 19 in Iran's northwestern East Azerbaijan province. His visit to the border region, where he joined Azerbaijani Leader Ilham Aliyev in inaugurating a dam, preceded the tragic accident.
Spot gold prices experienced a notable rally, peaking at USD2,449.89 per ounce during Monday's session, although some gains were later moderated. This surge mirrored a broader uptrend across metal markets, with industry analysts predicting that gold could soon breach the USD2,500 per ounce mark.
Earlier in April, gold prices had already surged to record highs amid escalating fears of potential conflict between Israel and Iran. With Raisi's untimely demise introducing a new layer of instability to the region, market observers anticipate further upward pressure on the precious metal's price.
Adding to the prevailing geopolitical volatility, a China-bound oil tanker fell victim to a Houthi missile attack in the Red Sea over the weekend, exacerbating concerns about regional tensions.
"Geographic tension environments are getting complicated," remarked Dick Poon, the general manager at Heraeus Metals Hong Kong, in a statement to a UK-based news agency, underscoring the intricate landscape of global uncertainties impacting market dynamics.
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