Gold Rises to $1,322 an Ounce on More Ukraine Tension

Gold rose 0.3 percent or $3.96 to trade at $1,322 an ounce on Monday, according to Reuters. Tensions in Ukraine continue to grow, as the country told pro-Russian separatists to disarm by Monday morning or face an anti-terrorist operation. The U.N. Security Council held an emergency Sunday night session to discuss the escalation. In general, geopolitical tensions decrease investors’ appetite for risk and bolster the price of precious metals.

“You have tensions between Russia and the West over Ukraine again which is giving support to gold, although the strength coming from expectations interest rates in the U.S. will stay low for a prolonged period is a more dominant driver overall,” ABN Amro analyst Georgette Boele told Reuters.

U.S. gold futures for June delivery also rose 0.3 percent or $3.97 to trade at $1,322.50 an ounce.