By Gokhan Ergocun
ISTANBUL (AA) - The ounce of gold was up 4.6% in September following strong monthly increases in July and August, the World Gold Council reported Tuesday.
It said the increases stem from geopolitical tensions and rate cuts, particularly the US Fed's jumbo cut of 50 basis points last month, exceeding market expectations of 25 basis points, bringing it to 5%, its lowest in more than a year.
An ounce of gold closed the last month to $2,630, it said.
"Gold was pulled higher by a further drop in the US dollar as the Fed embarked on its rate-cutting programme with a somewhat surprising 50bps cut,” it said. "Also of note in September, rising geopolitical tensions in the Middle East that have continued into October, helped the gold rally.”