Gold climbs amid Korea and France turmoil, safe-haven demand up

Gold extended its gains for a second day, trading near $2,650 an ounce after briefly rising 0.6% in the prior session.

Tensions escalated in South Korea as President Yoon Suk Yeol declared and then rescinded martial law, prompting impeachment calls. In France, President Macron urged lawmakers to block a no-confidence vote threatening his government.

 

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Despite a 5% drop from October’s record highs, gold remains 28% higher this year, buoyed by US monetary easing and central-bank purchases. The dollar’s rally following Trump’s election win and Middle East tension easing has limited bullion’s rise.

Key US jobs data due Friday will shape expectations for the Fed’s Dec. 18 meeting, where a 25-basis-point rate cut is anticipated.

As of 7:17 a.m. in London, spot gold edged up 0.1% to $2,646.96. Silver maintained a 1.7% gain, while platinum and palladium were flat.