Gold set for biggest quarterly gain in nearly 2 yrs on Ukraine crisis, inflation fears

• Gold on Thursday was headed for its biggest quarterly gains since the pandemic-led surge in mid-2020 as concerns over soaring consumer prices and the Ukraine crisis bolstered bullion's safe-haven appeal. 
• Spot gold was up 0.4% at $1,940.95 per ounce by 12:22 p.m. EDT (1622 GMT). For the month, bullion was up about 1.7%. U.S. gold futures rose 0.4% to $1,946.90. 
• RJO Futures senior market strategist Bob Haberkorn has said that the geopolitical situation has been dragging for a month now and inflation data continues to rise. So the overall sentiment in this market right now is people looking for safety, and gold is considered a safe investment during times of political and financial uncertainty. 
• Data showed U.S. consumer spending slowed significantly in February, while price pressures continued to mount, with the largest annual spike in inflation since the early 1980s. Russia's invasion, which began on Feb. 24, has fuelled a rally in oil prices and industrial metals. 
• Haberkorn noted that there could be a pullback in gold if there is some positive news that comes out of the Russia-Ukraine conflict, but thinks traders will look at that as a buying opportunity because of inflation fears.

(Source: Reuters)