Gold on Tuesday pushed back above a closely watched, long-term average as investors grew jittery over the impending French presidential election, which could have a pair of antiestablishment candidates facing off for the top job.
The market has been shaken by the French presidential elections ahead of first-round voting on April 23. The probability is growing that far-right anti-euro candidate Marine Le Pen could face leftist candidate Jean-Luc Mélenchon in the second round on May 7. It is feared that both candidates could lead to the destabilization of the European Union and the euro EURUSD, +0.1510%
Growing tensions in Asia centered on North Korea’s recent missile tests and the Middle East, where the U.S. launched a pinprick airstrike in Syria late Thursday and has hinted at the potential for more actions, have investors on edge, a factor supportive to gold prices rising.