The retail prices of gold in Japan exceeded ¥15,000 ($97.80) per gram for the first time on Wednesday, driven by tensions in the Middle East and a weaker yen.
The price of gold offered by Tanaka Kikinzoku Kogyo, a precious metal seller in Tokyo, rose ¥173 from Tuesday to ¥15,104 per gram, including tax.
Fighting between Israel and Hamas has heightened geopolitical risks in the Middle East.
Concerns about political uncertainty following next week's U.S. presidential election is another reason for people to buy gold, an expert said.
The dollar rose to a three-month high against the yen in currency trading on Monday amid expectations that the Bank of Japan will not likely raise interest rates anytime soon and fears of political uncertainty in Japan following the ruling camp's defeat in Sunday's general election.
Gold futures prices also rose on Wednesday, pushing up the key contract for October 2025 delivery to a record high on the Osaka Exchange.
"Gold prices are expected to remain firm as there are no bearish factors on the horizon," a commodities analyst said.
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