Gold Price In India Climbs Past Rs 41,000 To New Record High Amid US-Iran Conflict

Gold prices in India and international markets soared as investors sought cover in the safe-haven metal after the missile attack by Iran on US military bases in Iraq as a first response to the killing of its top general Qasem Soleimani.

Gold futures (Feb 2020) on MCX were trading above the Rs 41,000-mark touching a new record high of Rs 41,293 per 10 grams after a 1.5 percent jump. In the global market, spot gold climbed more than 2 percent to $1,610.90 an ounce, its highest since March 2013.

Early on Wednesday, Iran launched more than a dozen missiles on multiple bases in Iraq that house US troops.

After the attack, Iranian Foreign Minister Mohammad Javad Zarif tweeted, "Iran took & concluded proportionate measures in self-defense under Article 51 of UN Charter targeting base from which cowardly armed attack against our citizens & senior officials were launched. We do not seek escalation or war, but will defend ourselves against any aggression."

"We do not seek escalation or war, but will defend ourselves against any aggression," he added.

It is not clear if any American service members were hurt. The White House said that US President Trump was informed and is monitoring the situation closely. Trump said that he will deliver a formal statement on Wednesday morning.

In times of political and economic uncertainty investors flock to the precious metal, pushing its prices higher.