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Spot gold was trading at $1,993.28 per ounce as of 0947 GMT, its
highest level since March 11. U.S. gold futures jumped 1.2% to
$1,997.70 per ounce.
"Bullion's upward momentum is set to continue as long as markets
are fed with a steady stream of negative headlines pertaining to
a darkening global outlook," said Han Tan, chief market analyst
at Exinity.
The war in Ukraine has so far showed no signs of easing and has
added to soaring inflation and dampened global growth outlook.
Several big Wall Street banks have raised concerns the U.S.
Federal Reserve's aggressive policy tightening measures could
bring about a recession as they work their way through the
economy.
China's economy slowed in March as consumption, real estate and
exports were hit hard, as sweeping COVID-19 curbs and the
Ukraine war took a toll in the world's top gold consumer.
"From a technical perspective, spot gold may face little
resistance once it goes north of $2,000... However, gold's
ability to keep its head above $2000 may be strained once real
yields break into positive territory," Tan added.
Bullion is considered a safe store of value during times of
political and economic crisis.
Restraining advances in zero-yield gold on Monday, yields on the
benchmark 10-year U.S. Treasury note jumped to their highest
since December 2018, while the dollar stood strong near recent
highs. [US/]
Among other metals, spot silver rose 0.9% to $25.91 per ounce
and hit an over one-month high. Platinum jumped 1.5% to
$1,004.36 and palladium climbed 1.1% to $2,394.68.
(Reporting by Eileen Soreng in Bengaluru, additional reporting
by Swati Verma; Editing by Amy Caren Daniel)
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