Gold prices

Gold prices fell on Monday as higher energy costs fanned inflation concerns and further dimmed the prospects for a near-term cut in interest rates by the US Federal Reserve

Spot gold climbed 1.1 per cent to $5,161.64 per ounce by 0419 GMT, earlier hitting its highest since January 30

On Tuesday, Trump said there was “no going back” on his goal to control Greenland, refusing to rule out taking the Arctic island by force

Analysts attribute this frenzy to a complex interplay of factors ranging from geopolitical conflicts to domestic policy uncertainty and market mechanics

The US dollar hovered near a one-month high as investors assessed mixed economic data ahead of Friday’s nonfarm payrolls report

The dollar held near the six-month highs hit on Friday, making greenback-priced gold more expensive for holders of other currencies

Spot gold was up 0.5 per cent at $4,137.06 per ounce as of 0816 GMT, having earlier hit its highest since October 23 at $4,148.75

Overall gold sales during Dhanteras were 10–15 per cent lower in volume terms compared to last year, but total value rose due to higher prices

Gold, considered a safe-haven asset during broader uncertainty, tends to perform well in low-interest rate environment

The Fed reduced rates by 25 basis points on Wednesday and indicated it will steadily lower borrowing costs for the rest of this year