24-Nov (WSJ) — —Gold prices were higher on the London spot market Tuesday, as geopolitical tensions in Turkey and a slightly softer dollar prompted some demand for the precious metal.
Spot gold was up 0.5% at $1,073.76 a troy ounce in morning European trade.
The downing of what is believed to be a Russian jet by Turkish military forces near the Syrian border on Tuesday encouraged some buying of the metal, which is traditionally considered a safe-haven asset as it maintains a stable value in times of heightened risk.
The Turkish military said two of its F-16s shot down the jet fighter after it crossed into Turkish airspace and ignored 10 warnings in five minutes to return to Syrian airspace. However, Russia said the downed jet had flown exclusively in Syrian airspace and that the plane had likely been brought down by shelling from the ground.
Carsten Fritsch, a precious metals analyst at Commerzbank AG, said Turkey’s action triggered some demand for gold.