Gold Rises Above $4,130 Amid Middle East Tensions as ASEAN Calls for Hormuz Reopening

Spot gold rose 1.3% to US$4,130.09 per ounce on Wednesday, reaching its highest level in two weeks after rebounding from below US$3,960 last Friday. Gold futures gained 1.4% to US$4,134.95, while silver climbed 1.6% to US$59.7265 and platinum added 1.5% to US$1,662.85.

ASEAN calls for shipping stability

Meeting in Manila, ASEAN foreign ministers issued a joint statement calling for an immediate halt to fighting between the United States and Iran and for the safe reopening of the Strait of Hormuz, a key global energy shipping route.

Speaking to ASEAN ministers, U.S. Secretary of State Marco Rubio warned that attempts to disrupt shipping through the Strait of Hormuz could set what he described as a "dangerous precedent" for maritime security. His remarks drew attention amid ongoing disputes in the South China Sea. Rubio also said protecting international shipping should not rest solely with the United States, highlighting Washington's call for greater regional cooperation on maritime security.

Factors supporting gold

1. Fighting between the United States and Iran continued for an 11th consecutive day.
2. Brent crude briefly traded above US$95 per barrel, its highest level since June, adding to concerns over energy prices despite signs of easing U.S. inflation.
3. A weaker U.S. dollar also supported gold prices. Trade Nation analyst David Morrison noted that gold had recently strengthened even during periods of dollar appreciation, differing from the metal's typical inverse relationship with the U.S. currency.

Market focus

According to Morrison, the US$4,200 level remains an area that investors are closely watching when assessing whether the recent rebound can be sustained. Gold has also attracted buying interest around the US$4,000 level in recent trading.

Sources: Reuters, Investing.com, Rappler, RFE/RL and Fox News. This article is for informational purposes only and does not constitute investment advice.