Gold Price Projections for Next Week

Director of PT Traze Andalan Futures, Ibrahim Assuaibi, estimates that gold prices could strengthen to Rp 2.69 million per gram in trading next week. “If world gold strengthens at the second resistance level of US$4,348 per troy ounce, then the precious metal could reach Rp 2.78 million per gram,” Ibrahim said on Sunday, 5 July 2026. This means the price of gold is expected to continue its upward trend from the closing level on Friday, 3 July 2026, which was at Rp 2.67 million per gram. If a correction occurs, Ibrahim estimates the price of gold could fall to Rp 2.65 million per gram in next week’s trading. “If it corrects further, the second support is at US$4,000 per troy ounce, with the precious metal at Rp 2.55 million per gram,” he stated. Based on his analysis, Ibrahim identified three factors influencing the rise in gold prices next week. The first factor is the geopolitical situation in the Middle East. Ibrahim noted that after the United States and Iran signed a memorandum of understanding to end the war, the Strait of Hormuz, a vital trade route, will return to smooth operation. This will cause an oversupply of oil, increasing from 100 million barrels per day to 103.1 million barrels per day, leading to a significant decline in oil prices. This situation has the potential to drive up the price of gold. The second factor is the policy of the United States central bank. Ibrahim explained that domestic conditions, such as unemployment figures and the plummeting world oil price, will cause inflation to continue falling towards the 2 percent target. This situation means the central bank is unlikely to raise its benchmark interest rate. “It will only maintain the interest rate,” he said. This Federal Reserve policy has the potential to create a surge in gold prices. He even estimates the price of gold could skyrocket to US$5,000 per troy ounce by the end of the year. The final factor is supply and demand. Ibrahim explained that global central banks increased their purchases of gold bullion by 41 tonnes in May. China added 10 tonnes in May, bringing its total to 2,331 tonnes. Uzbekistan also increased its stock to around 33 tonnes of gold bullion, while Kazakhstan saw its gold reserves rise to 361 tonnes. Ibrahim noted that the recent weakening of gold prices has provided an opportunity for global central banks to continue buying the commodity, as they anticipate that prices will soar once the Strait of Hormuz reopens and world oil prices fall.