02:00 PM EDT, 10/01/2024 (MT Newswires) -- Gold prices rose midafternoon on Tuesday on safe-haven buying as Iran launched missile attacks on Israel in a revenge strike following Israel's assassination Hezbollah leader Hassan Nasrallah and other senior leaders of the militia group Iran backs.

Gold for December delivery was last seen up US$28.00 to US$2,687.40 per ounce.

After the U.S. warned of a planned strike, Iran launched 200 missile attacks on Israel earlier on Tuesday, sending Israelis into bomb shelters, The Guardian reported. There is not yet any word of how many missile reached their target or whether the strike resulted in casualties.

The revenge attacks widens the risk of a spreading Middle East war as Israel begins an invasion of southern Lebanon, targeting Hezbollah installations as it continues its war in Gaza.

The dollar moved higher, with the ICE dollar index last seen up 0.51 points to 101.29.

Treasury yields eased, with the U.S. two-year note last seen paying 3.617%, down 3.0 basis points, while the yield on the 10-year note was down 5.5 basis points to 3.732%.