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Gold Rebounds Above $5,000 After US Downs Iranian Drone; Other Global Developments Unfold
Gold prices surged above $5,000 an ounce on Wednesday after the United States downed an Iranian drone, reigniting geopolitical tensions and prompting investors to seek safe-haven assets. The price of gold reached $5,059 per ounce, approximately $80 higher than the same time last year, according to BBC Business. Meanwhile, in South Africa, Democratic Alliance (DA) leader John Steenhuisen announced he would not seek re-election in April, a move that could threaten the stability of the coalition government, reported BBC World. In the United States, Netflix and Warner Bros. faced scrutiny from lawmakers regarding their proposed merger, and in Michigan, a Detroit Lions fan filed a $100 million lawsuit against Pittsburgh Steelers wide receiver DK Metcalf following an alleged altercation.
The surge in gold prices followed days of sharp falls, but the renewed geopolitical uncertainty triggered by the downing of the Iranian drone propelled the precious metal back to record highs, according to BBC Business. Gold is often seen as a "safe haven" for investors during times of uncertainty. The price of gold had already been elevated due to rapid changes in U.S. trade policy, ongoing geopolitical conflict, and central banks increasing their bullion purchases.
In South Africa, John Steenhuisen's decision not to seek re-election as leader of the DA, the country's second-largest party, introduces uncertainty into the nation's political landscape, according to BBC World. Steenhuisen, who took over leadership of the pro-business DA in 2019, currently serves as agriculture minister in President Cyril Ramaphosa's government. The DA entered into a coalition with its arch-rival, the African National Congress (ANC), in 2024 after the ANC lost its parliamentary majority.
Across the Atlantic, Netflix and Warner Bros. faced a skeptical U.S. Senate antitrust subcommittee regarding their proposed $82 billion takeover of Warner Bros. Discovery, reported BBC Technology. Members of the subcommittee, including both Democrats and Republicans, raised concerns about reduced competition, potential price rises, and the future of cinemas if the merger proceeds. The deal is currently under review by the Department of Justice (DoJ).
In legal news, Ryan Kennedy, a Michigan resident and Detroit Lions fan, filed a $100 million lawsuit against Pittsburgh Steelers wide receiver DK Metcalf following a December altercation at Ford Field, according to Fox News. Kennedy's attorneys announced the lawsuit in Wayne County Court on Tuesday. The lawsuit follows Metcalf's suspension for two games following the altercation.
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