Gold reaches record high as traders bet on U.S. Federal Reserve interest-rate cut due to Middle-East war, with spot gold climbing 1% to $2,136.69 per ounce.
Key Points
Traders are betting on a start to interest-rate cut by the U.S. Federal Reserve in June.
Investors are pouring money into gold as the Middle-East war continues.
Spot gold reached $2,136.69 per ounce, a 1% increase.
Pros
Gold is seen as a safe haven asset during times of economic turmoil.
Central bank easing tends to push down bond yields and the dollar, making gold more attractive.