Gold hovers near record high

Gold prices rose on Tuesday and hovered near a record high hit in the previous session, amid uncertainties around the US election, the ongoing Middle East tensions and expectations of central banks cutting interest rates.
Spot gold rose 0.6 percent to $2,735.14 per ounce by 0658 GMT and US gold futures rose 0.4 percent to $2,749.30.
Gold, considered a hedge against political and geopolitical uncertainty, hit an all-time high of $2,740.37 on Monday and has gained more than 32 percent so far this year.
“A confluence of tailwinds remains in place, which includes its (gold’s) status as an attractive hedge against US election uncertainties and geopolitical risks, resilient central banks’ demand and room for catch-up ETF buying,” IG market strategist Yeap Jun Rong said.
“Buyers may seem to eye the $2,800 level next, as political uncertainties will persist as the election draws nearer.”
With the US presidential election just over two weeks away, former President Donald Trump and Vice President Kamala Harris are caught in a knife-edge battle to win over some of the more competitive states.
Recently, Israel assassinated the leaders of Hezbollah in Lebanon and of Hamas in Gaza, while showing no signs of reining in its ground and aerial offensives.
Traders now see an 87 percent chance of a 25-basis-point cut by the US Federal Reserve in November, according to the CME Fedwatch tool.
Benchmark 10-year treasury yields rose to a 12-week high in the last session, while the dollar clung to a two-and-half-month high on Tuesday.