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Gold futures rose Tuesday, bolstered by increased safe haven demand as U.S. stocks took a turn for the worse.
The Dow Jones Industrial Average was down 200 points at lunchtime, triggering concerns about a correction after all-time highs in February.
Markets have been spooked by valuations, as well as geopolitical tensions.
North Korea released a video made to look like it was bombing U.S. assets, while France's upcoming elections may find nationalist, anti-EU candidates swept into office.
April gold was up $12.50, or 1%, to settle at $1,246.50/oz, adding to last week's gains. A weaker dollar has helped the precious metal to rise in March.
In economic news from Europe, food and fuel prices drove the UK's consumer prices index to the highest level in almost three-and-a-half years, putting pressure on the Bank of England to raise interest rates.
