SINGAPORE, Apr 18 (Reuters): Gold prices rose on Thursday on a weaker US dollar and as investors sought a safe-haven on fears the Middle East conflict could widen, dampening headwinds from the prospect of fewer US rate cuts this year.
Spot gold was up 0.9 per cent at $2,382.27 per ounce at 1142 GMT. It had touched an all-time high of $2,431.29 last Friday. US gold futures rose 0.4 per cent to $2,397.70.
"The weakening dollar has been supportive of precious metals across the board today. There are also other supportive factors like geopolitical risks and central bank diversification that have played a role," said Bank of China International (BOCI) analyst Xiao Fu.
The US dollar fell for a second day after a rare warning by the finance chiefs of the United States, Japan and Korea over the sharp decline in other currencies. A weaker dollar makes gold more attractive for other currency holders.
On the geopolitical front, Israel has signalled it will retaliate to a volley of attacks from Iran, but has not said how. European Union leaders have decided to step up sanctions against Iran.
Higher interest rates reduce the appeal of holding non-yielding gold.
Spot silver rose 0.8 per cent to $28.43 per ounce, platinum was up 0.2 per cent at $939.90 and palladium gained 0.2 per cent to $1,027.76.
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