Gold prices surged almost 3% following heavy buying activity as\nprices dipped after this week\u2019s initial correction. Investors are\nseeking signs of easing conflict in the Middle East.<\/p>\n
According to Refinitiv, gold prices closed at US$4,492.48 per troy\nounce on Friday\u2019s trading (27\/3\/2026). The price jumped 2.6%.<\/p>\n
This increase is good news after the price fell 2.8% on Thursday\n(26\/3\/2026). Yesterday\u2019s rise also extended the rollercoaster of gold\nprices this week.<\/p>\n
On Monday, the price dropped 1.8% but surged 1.5% on Tuesday and\nclimbed 0.7% on Wednesday. It plummeted on Thursday and soared again on\nFriday.<\/p>\n
Over the past week, gold prices strengthened by 0.11%. This gain\nbroke a streak of three consecutive weeks of declines.<\/p>\n
\u201cThe recent price drop has created an excellent opportunity because\nthe market has corrected\u2026 the price fell below the 200-day moving\naverage\u2026 this is a fantastic time to buy gold,\u201d said Daniel Pavilonis,\nsenior market strategist analyst at RJO Futures, quoted from\nReuters.<\/p>\n
Spot gold briefly hit a four-month low of $4,097.99 on Monday.<\/p>\n
\u201cWe will see a gradual rise in the coming weeks. And if this Iran\nsituation can ease, there is a big opportunity for the market to return\nto risk-taking,\u201d Pavilonis added.<\/p>\n
Oil prices remain above $110 per barrel despite US President Donald\nTrump extending the deadline for Iran to reopen the Strait of Hormuz,\nafter Tehran rejected a 15-point US proposal to end the conflict.<\/p>\n
The war, now entering its fourth week, has spread in the Middle East,\nhitting the global economy with surges in energy and fertiliser prices,\nsparking inflation concerns.<\/p>\n
Rising inflation has shifted Federal Reserve policy prospects towards\npossible rate hikes, which typically pressure gold by increasing the\nopportunity cost of holding the non-yielding asset.<\/p>\n
According to the CME FedWatch Tool, market participants have now\nfully removed expectations of a US rate cut in 2026. Previously, markets\nanticipated two cuts before the war began.<\/p>\n
However, Commerzbank has raised its gold price forecast, targeting\n$5,000 per ounce by year-end from the previous $4,900, reasoning that\nthe latest correction is unlikely to last long.<\/p>\n
The bank expects the Iran war to end in spring, which could ease\ncurrent US rate hike expectations. They see the Fed resuming rate cuts\nby year-end, with a total reduction of about 75 basis points by mid-next\nyear.<\/p>\n
\u201cInitial liquidity needs have been met, and now gold can move again.\nSmart investors are using the price dip as an opportunity to add\npositions,\u201d said Nitesh Shah, commodities analyst at WisdomTree.<\/p>\n
Lower gold prices also attracted buying interest in India this week,\nwhile Turkey\u2019s central bank gold reserves recorded the largest weekly\ndecline since August 2018 due to the conflict\u2019s impact.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/gold-prices-soar-beware-bandits-quietly-scoop-up-massive-amounts-1774659047", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }