Gold prices jumped on Wednesday as traders moved back to safe havens thanks to worrying signs about the health of the global economy.
Concerns about a potential global recession deepened on news from the United States that the yield on the benchmark ten-year note dropped below the yield on the two-year note earlier this morning - which is widely seen as an indicator of a recession.
Spot gold was up $16.90 or 1.13 percent at $1,517.80 per ounce after peaking at $1,520.24 earlier in the day. Gold futures climbed $14.85 or 0.98 percent to $1,528.95.
It had held steady at $1,501.64 per ounce earlier in the day after disappointing economic data from Germany and China.
The precious metal had reached a six-year high Tuesday on concerns over the trade dispute between the United States and China, although gold prices fell after the U.S. announced a delay in the imposition of additional tariffs on China.