Gold climbs amid US-North Korean 'sabre-rattling'

Investors brace after “unpredictable" war of words

clock • 3 min read

Investors fled to gold on Wednesday as tensions between North Korea and the US escalated, pushing the precious metal's price to an intraday high of $1276.2/oz.

US President Donald Trump's emotive suggestion about a large scale military response to North Korean threats rattled markets, also dragging the FTSE down 0.8% on Wednesday. The VIX measure for volatility was also up for the day, while the US dollar was marginally down against sterling. Gill Hutchison: Using gold to hedge inflation in mixed-asset portfolios Commenting on the impact of the political sabre-rattling, Old Mutual Global Investors' Ned Naylor Leyland, responsible for gold and silver investing, said any further escalation could serve to drive the metals' price even fur...

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