(Bloomberg) — Gold (GC=F) rose — approaching Monday’s record high — with haven demand driving bullish sentiment as traders monitored geopolitical risks including conflict in the Middle East and the US election that’s less than two weeks away.

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Bullion climbed as much as 0.6% to trade near $2,735 an ounce, shrugging off higher Treasury yields as investors focused on increasing tensions between Israel and Iran. Traders were also repositioning portfolios ahead of the US election on Nov. 5. Investors typically seek safety in gold in times of geopolitical and economic uncertainty.

Markets were also digesting differing views from Federal Reserve officials on the path forward for US interest rates. On Monday, Fed Bank of Kansas City President Jeffrey Schmid said he favors a slower pace of reductions, while his San Francisco counterpart Mary Daly reiterated her view on the need to deploy additional cuts to guard against labor market deterioration.

The precious metal has surged by almost a third this year, hitting successive all-time highs, with the rally intensifying in the last couple of months as the Fed pivoted to cutting interest rates. Money managers have also added to the strength of the rally, with hedge funds increasing net-long positions in gold in recent sessions, while investors have been adding to exchange-traded fund holdings.

Citigroup Inc. analysts led by Max Layton boosted the bank’s three-month forecast by 3.7% to $2,800 an ounce amid expectations that further labor market deterioration will drive demand for gold, according to a note.

Spot gold rose 0.5% to $2,733.41 an ounce as of 1:26 p.m. in Singapore after touching a record of $2,740.59 on Monday. The Bloomberg Dollar Spot Index eased after rising 0.4% in the previous session. Silver (SI=F) rose to trade close to a 12-year high. Palladium (PA=F) and platinum (PL=F) both climbed.

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