Gold prices rise after Iran fired more than a dozen ballistic missiles at U.S. forces in Iraq, according to the Pentagon, an act of retaliation for the assassination of Iranian Maj. Gen. Qassem Soleimani.

The precious metal is 0.9% higher at $1,588.30 a troy ounce in the New York futures market in early European trading. Shortly after the missile attack, it rose as much as 2.8%, to a fresh six-year high of $1,613.30 a troy ounce.

Investors have bought gold as a hedge against the risk of a broader conflict in the Middle East since Soleimani's killing on Friday. Fund managers and analysts say the precious metal is also gaining momentum from a slight weakening in the U.S. dollar as well as a decline in inflation-adjusted bond yields. 

Source : Bloomberg