Gold prices held steady near $5,200 an ounce, remaining close to record levels and on track for strong gains in February.

Gold prices were steady in Asian trading on Friday and remained on course for solid gains in February, supported by sustained safe-haven demand amid rising geopolitical tensions and economic uncertainty throughout the month.

Shifts in U.S. trade policy and worries about slowing growth in major global economies kept investors tilted toward defensive assets, helping bullion recoup much of its losses from late January.

Renewed conflict between Pakistan and Afghanistan also boosted demand for safe havens on Friday, although the fighting has so far remained contained between the two neighboring nations.

Gold set for solid February gains, rebounds from late-January slide

Spot gold steadied at $5,187.18 an ounce as of 00:12 ET (05:12 GMT), while April gold futures rose 0.2% to $5,203.61 per ounce.

Spot prices were up 6.7% in February, having largely recovered from sharp losses earlier in the month after a brief speculative rally quickly unraveled. Prices had dropped to as low as $4,600 an ounce in early February before rebounding.

Heightened geopolitical tensions surrounding Iran played a major role in gold’s recovery, as Washington increased its military presence in the Middle East and warned of possible action if Tehran refused to agree to a nuclear deal.

Talks between the U.S. and Iran concluded this week without a breakthrough. However, both sides agreed to continue negotiations in the coming weeks, raising some hopes for a potential agreement.

Elevated uncertainty surrounding the U.S. economy also supported gold’s advance, particularly after the Supreme Court of the United States struck down most of President Donald Trump’s trade tariffs.

Trump responded by unveiling fresh tariffs under a separate legal authority and warning of additional levies, keeping investors wary of further economic disruption stemming from trade measures.

Other precious metals climbed on Friday and were poised for strong monthly performances. Spot silver jumped 1.7% to $89.7785 per ounce, bringing its February gain to 6%, while spot platinum rallied 3% to $2,351.63 per ounce, up 8.4% for the month.

Copper poised for modest February gains as China demand eyed

Among industrial metals, copper prices edged higher on Friday and were on track for mild gains in February, as investors looked for clearer signals from China—the world’s largest importer of the metal.

Benchmark copper futures on the London Metal Exchange rose 0.2% to $13,333.0 per ton, bringing monthly gains to 1.2%. Meanwhile, COMEX copper futures climbed 0.4% to $6.0480 per pound, up 1.1% for the month.

Copper’s relatively subdued performance in February was partly due to reduced activity during China’s Lunar New Year holiday, which kept mainland markets closed for more than a week and sidelined many buyers.

Analysts at ANZ noted that copper inventories in China increased more than expected over the holiday period, alongside a buildup in global stockpiles, amid mining and trade disruptions.

With Chinese markets having reopened this week, attention has shifted back to potential buying activity. Copper demand is widely expected to strengthen in the coming quarters, particularly as the global artificial intelligence buildout gathers pace.

Sources: Ambar Warrick