Gold gains after Russia attacks Europe’s largest nuclear plant

Gold rose on Friday, eyeing its best

weekly gain since May 2021, as investors scrambled for

safe-haven assets after Russia attacked a nuclear power plant in

Ukraine — the largest of its kind in Europe.

FUNDAMENTALS

* Spot gold rose 0.6% to $1,946.41 per ounce by 0100

GMT and was on track for a weekly gain of about 3%. U.S. gold

futures also rose 0.6% to $1,948.60.

* The Zaporizhzhia nuclear power plant in Ukraine was on

fire early on Friday after an attack by Russian troops, the

mayor of the nearby town of Energodar said.

* Russia has already captured the defunct Chernobyl plant,

some 100 kilometers (62 miles) north of Ukraine’s capital, Kyiv.

* Governments, including those of the United States and the

European Union, have imposed sanctions on Russian individuals,

companies, banks and the Russian central bank since the Kremlin

sent troops into Ukraine on Feb. 24.

* The London Bullion Market Association (LBMA) told Reuters

it has asked six Russian gold refiners it accredits if they have

commercial links with sanctioned Russian entities and that such

links, if found, could affect their accreditation.

* Russia’s finance ministry said on Thursday it was halting

purchases of foreign currency and gold for this year as part of

a suspension of parts of its fiscal rule relating to the use of

extra oil and gas revenues.

* Palladium gained 1.6% to $2,818.86, after hitting

its highest level since mid-July 2021 at $2,835.48 earlier in

the session.

* The auto-catalyst metal, used by automakers in catalytic

converters to curb emissions, was all set to gain about 20% –

its best weekly rise since late-March 2020.

* Spot silver was up 0.4% at $25.25 per ounce and set

for a fifth consecutive weekly rise, while platinum rose

0.4% to $1,084.82.

(Reporting by Asha Sistla in Bengaluru; editing by Uttaresh.V)