Gold climbs to 7-week high, set for more gains.

Byline: S. Kamal Hayder Kazmi

Gold climbed to a seven-week peak on Friday and was headed for its first monthly gain in four months, as investors sought the safe haven investment after US President Donald Trump threatened tariffs on imports from Mexico, which fed fears of a global downturn.

Spot gold jumped 1.3% to $1,305.17 an ounce by 1:51 p.m. ET (1751 GMT), having hit its highest since April 11 at $1,306.64.

Bullion has risen by about 1.7% so far this month and 1.6% for the week. US gold futures settled up 1.9% at $1,311.1.

Lower interest rates would support gold because they reduce the opportunity cost of holding non-yielding bullion.

Elsewhere, concerns in the auto sector rubbed off on...