---
title: "Gold Hits Four-Week High as Pelosi’s Taiwan Trip Stirs Tensions"
description: "Gold rose to the highest in almost a month as investors braced for a stormy period in US-China relations with House Speaker Nancy Pelosi heading for Taiwan."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Business Maverick"
author: "Bloomberg"
author_url: "https://www.dailymaverick.co.za/author/bloomberg/"
canonical_url: "https://www.dailymaverick.co.za/article/2022-08-02-gold-hits-four-week-high-as-pelosis-taiwan-trip-stirs-tensions/"
published: "2022-08-02T17:51:12"
lang: "en-ZA"
word_count: 183
---

# Gold Hits Four-Week High as Pelosi’s Taiwan Trip Stirs Tensions

> Gold rose to the highest in almost a month as investors braced for a stormy period in US-China relations with House Speaker Nancy Pelosi heading for Taiwan.

By Bloomberg · Published 2 August 2022, 19:51 SAST

## Content

The precious metal often benefits from bouts of geopolitical turbulence and Pelosi’s trip adds to tailwinds that helped gold rebound from a 15-month low. Growing fears about the global economy also have aided bullion’s rise.

Pelosi is [expected to arrive](https://www.bloomberg.com/news/articles/2022-08-01/white-house-urges-calm-in-beijing-with-pelosi-headed-for-taiwan) late Tuesday in Taiwan, which China views as its territory. She would be the most senior US politician to visit the island in a quarter century and Beijing has warned of “grave consequences” that could include military action.

Helping bullion’s recovery could also be an end to outflows from gold-backed ETFs after 21 days of uninterrupted withdrawals, according to Commerzbank AG analyst Carsten Fritsch. While ETF holdings were reduced by 94 tons in July -- the biggest monthly outflow since March 2021 -- investor sentiment may be shifting, he added.

“Recently there were three consecutive days of inflows, which could point to a shift in sentiment among ETF investors,” Fritsch wrote in a note.

Spot gold rose as much as 0.7% to $1,784.59 at 3:28 p.m. in London. The Bloomberg Dollar Spot Index rose 0.4% as platinum edged higher. Silver and palladium declined.