Gold futures were increasing in value on Monday, pushing toward the milestone mark of $1,700 per troy ounce, according to Reuters.
While one driver of the precious metal's climb was futures in Japan gaining value, the performance of bullion also was tempered by losses to the common currency of the European Union, which suffered a setback when negotiations between Greece and its private creditors did not advance. Approved for a second tranche of emergency bailout aid, the Aegean nation remains in danger of defaulting on its loan obligations.
"A disaster in the euro zone would not necessarily spark gold buying as even gold would be seen as a risk and investors would likely be prompted to sell, while geopolitical risk such as tension surrounding Iran would boost the safe-haven appetite for gold," vice-president Akira Doi with commodity brokerage Daiichi Commodities in Tokyo told Reuters.
At 6:36 a.m. on Monday, gold futures increased 0.81 percent, a $13.50 increase to $1,677.50 per troy ounce.
Speculative purchases of bullion also helped push its value up despite a solidifying U.S. dollar, according to Dow Jones Newswires.
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