Gold is rising amid geopolitical tensions and a decline in the dollar.
Gold prices jumped during Monday's trading on June 2, supported by escalating political tensions and a decline in the value of the dollar, amid increasing trade and military threats on the international stage.
Spot gold rose by 0.9% to reach $3319.13 per ounce in the spot market, while gold futures in the United States increased by 0.7% to $3315.00.
This rise coincided with a 0.1% decrease in the dollar index, boosting demand for the yellow metal from investors dealing in other currencies.
President Donald Trump's statements on Friday raised market concerns after threatening to increase tariffs on steel and aluminum imports from 25% to 50%. In response, the European Commission warned that Europe would take retaliatory measures.
Investor expectations are currently leaning towards a potential 50 basis point cut in US interest rates during the current year, with expectations for cuts to begin in October.
On the economic data front, the US Personal Consumption Expenditures Index showed a 2.1% increase on an annual basis in April, lower than analysts' expectations of 2.2% growth.
