World gold price increased to the highest level in nearly 1 month

Gold rose nearly $100 per ounce, reaching a three-week high due to investors' demand for safe havens.

At the close of trading on June 2, the world spot gold price increased by $92 to $3,380 per ounce. In the morning session on June 3, the price continued to rise to $3,386 - the highest since early May.

The market rose due to the weakening US dollar and economic and geopolitical instability, causing investors to seek safe havens. The Dollar Index fell 0.5% against a basket of major currencies, making gold cheaper for buyers with other currencies.

World gold price developments over the past year. Chart: Reuters

US stock indexes are also under pressure as US-China trade tensions flare up again. Investors are preparing for a week of economic and political volatility, such as the US jobs report and the possibility of the European Central Bank (ECB) continuing to cut interest rates.

"US President Donald Trump's plan to double the aluminum and steel tariffs to 50%, along with Ukraine's attacks on Russia, have increased geopolitical risks, fueling demand for safe havens," explained Peter Grant, precious metals strategist at Zanier Metals.

Tensions between the US and China have increased again since the end of last week, when Mr. Trump accused Beijing of violating the trade agreement. On June 2, China also made similar accusations against the US. Finance Minister Scott Bessent said the two countries' leaders could soon have a phone call to resolve trade issues.

Investors are also closely watching comments from Fed Chairman Jerome Powell and other officials for clues on the outlook for US interest rates. Gold prices tend to rise during periods of low interest rates.

In addition to concerns about trade tensions, fiscal uncertainty and the US debt ceiling are also of interest. This is also a boost for the precious metal, said Fawad Razaqzada, a market analyst at City Index.

In addition to gold, silver prices also rose 4.7% to $34.5 an ounce - a seven-month high. Platinum and palladium rose 0.6% and 1.8%, respectively.

(According to Ha Thu, vnexpress.net)