Gold's Volatility in 2026: Still a "Safe Haven" or Starting to Lose Direction?

JAKARTA, KOMPAS.com – The movement of global gold prices throughout early 2026 shows unusual dynamics. After surging sharply throughout 2025 to set records, the price of this precious metal has instead experienced a significant correction in a short time, raising questions among investors: has the gold price rally ended, or is it just a temporary pause? Data shows quite sharp volatility. Nevertheless, on an annual basis, gold’s position remains relatively high. As of April 2026, the global gold price is still in the range of $4,600 to $4,800 per ounce, far above the previous year’s levels. This situation reflects one thing: the gold market is currently in a phase that is highly sensitive to various global factors. Throughout 2025, global gold prices experienced a major surge, even rising around 65 percent and temporarily setting a record above $4,500 per ounce. However, entering 2026, that pattern began to change. Instead of continuing to rise, gold prices have moved fluctuantly. In fact, during several periods, prices fell even though global uncertainty remains high. This phenomenon is an anomaly compared to gold’s traditional role as a hedging asset (safe haven). Quoting Investopedia, gold usually strengthens during global conflicts. Tensions in the Middle East, including conflicts involving Iran, have been one of the main drivers of recent gold price increases. However, the impact is not always linear. In some cases, conflicts actually trigger liquidity needs, so investors sell gold to cover losses in other assets. Gold does not provide returns (non-yielding asset), making it less attractive when interest rates are high.