Gold prices climbed on Tuesday as escalating tensions between Israel and Iran boosted demand for the safe-haven asset. Investors are also closely watching the U.S. Federal Reserve’s policy meeting this week. Gold traditionally serves as a refuge during times of geopolitical and economic uncertainty.

The uptick in gold prices follows reports of an Israeli strike on Iran’s state broadcaster and indications from the head of the U.N. nuclear watchdog of extensive damage to Iran’s largest uranium enrichment plant on Monday. These developments have heightened concerns in the Middle East, leading investors to seek the perceived security of gold.

Beyond geopolitical events, markets are also anticipating several central bank monetary policy decisions this week, with the Federal Reserve’s meeting drawing the most attention. The U.S. central bank is broadly expected to keep interest rates unchanged at the conclusion of its policy meeting on Wednesday.

Further underscoring gold’s appeal, holdings in the SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, increased by 0.15% to 941.93 tonnes on Monday, up from 940.49 tonnes on Friday.

In other precious metals, spot silver saw a modest gain of 0.1% to reach $36.35 per ounce. Conversely, platinum declined by 0.3% to $1,242.03, and palladium eased 0.2% to $1,027.50.