Gold prices rise in the Middle-East

Pakistan (July 13)  Gold added to sharp overnight gains to trade near its highest in almost four months on Friday and was on track for a sixth straight weekly gain as troubles at a Portuguese bank hammered equities and stoked safe-haven demand for bullion. Spot gold inched up 0.1 percent to $1,336.70 an ounce by 0637 GMT, after closing up 0.7 percent on Thursday, when it rose to a peak of $1,345 - the metal’s highest since March 19. Gold has gained more than 1 percent this week. The sixth weekly gain would be gold’s longest winning streak since Feb-March when it had a similar run.

“Money seems to be shifting out of equities and into gold,” said one precious metals trader in Hong Kong. “The Portugal news has brought in a new safe-haven aspect for gold on top of what’s happening in the Middle East.” The trader said it was a surprise for gold to jump sharply in the face of fundamental negative news from India, where import duty on the metal was kept unchanged at record highs.