Gold hits $3,500 per ounce as investors flock to safety

Gold extended its record run on Tuesday, breaching $3,500 per ounce, as weakness in the dollar, U.S. President Donald Trump's attacks on the Federal Reserve and trade war fears boosted demand for the safe-haven asset, reports Reuters.

Spot gold was up 0.5% at $3,440.51 an ounce by 09:21 a.m. EDT (1321 GMT), after rising as much as 2.2% to $3,500.05 earlier in the session. US gold futures climbed 0.9% to $3,454.60.

"Gold is continuing to find buyers on any short-term dips, and it is really difficult to say how much further it can go. Momentum is clearly strong, which is discouraging investors or traders from selling gold significantly," said Fawad Razaqzada, market analyst at City Index.

Gold, often used as a safe store of value during times of political and financial uncertainty, has risen more than 30% so far this year, owing to central bank buying and escalating trade tension between the US and China.

Meanwhile, gold's relative strength index (RSI) stands at 79, indicating that the metal is overbought.