Gold prices steady near 4-week high

Gold prices stabilized today, Aug. 2, near their highest levels since early July, as concerns grow about the possibility of a new escalation of geopolitical tensions between the US and China amid uncertainty about the global economy.

Gold futures for December delivery settled at $1,788.60 an ounce at 10:31 am Makkah time, after recording four consecutive sessions of rise. Spot prices, meanwhile, decreased slightly by 0.13% to $1,769.59 per ounce.

Elsewhere, silver futures for September delivery fell 0.89% at $20.18 an ounce. The spot price for platinum also dropped by 0.13% to $905.41, with the spot price of palladium also shedding 0.24% to $2190.92.

On the other hand, the main dollar index, which measures the performance of the US currency against a basket of six currencies, rose 0.26% to 105.68 points.

US House Speaker Nancy Pelosi is expected to arrive in Taiwan later today, which China considers within its territory, in the first visit to the island by a US official in a quarter of a century, amid warnings from Beijing about countermeasures, including military intervention if this trip continues, Bloomberg reported.

Gold also received additional support during the past sessions from the decline in the US dollar and Treasury bond yields, as the dollar declined to its lowest level in about one month and the ten-year Treasury bond yield fell to its lowest level in four months, reducing chances of holding the bullion.